Solid US manufacturing data helped boost the US dollar – already supported by deteriorating risk sentiment and higher interest rates - to a 20-year high. Bond yields also rose, while the S&P500 is down 0.3%.

US equities extended the week’s decline further, the S&P500 down 0.8%. Bond yields remained elevated, while risk-sensitive currencies tested recent lows. There was little fresh news of note.

Solid US data updates on consumer sentiment and job openings raised Fed tightening expectations further. Bond yields rose, equities fell (S&P500 down 1.1%), and risk-sensitive currencies underperformed.

The effects of Fed Chair Powell’s hawkish speech on Friday lingered. The S&P500 is down 0.7% and bond yields are higher. The AUD and NZD firmed slightly though.

Fed Chair Powell’s hawkish speech boosted the US dollar and hurt equity sentiment, the S&P500 closing down 3.3%. Bond yields were volatile, with short maturities ending slightly higher.

Bond yields fell on the eve of the major central bank gathering at Jackson Hole. The US dollar fell slightly, and the S&P500 rose 1.4%.

Bond yields continued to rise ahead of tomorrow’s central bank gathering at Jackson Hole. Currencies were little changed, though, and the S&P500 is up 0.4%.

Disappointing US activity data hurt the US dollar and weighed on bond yields. The S&P500 is down 0.2%.

Negative sentiment towards equities intensified with fears of hawkish Fed signals later this week. The S&P500 is down 2.1%, and bond yields and the US dollar are higher.

Sentiment in the US equity market was negative (S&P500 -1.3%), and that spilled over to currencies. Bond yields rose ahead of this week’s important gathering of central bankers at Jackson Hole.