Key facts
- US long bond price up 2 points overnight.
- Ten-year yields down 19 basis points.
- Meta shares down almost 7% on capex concerns.
- CoreWeave shares down 10%, hitting May 2025 lows.
- Brent crude futures above $113 a barrel.
Investors woke to a significant rally in US Treasuries, with the long bond price jumping two full points and ten-year yields falling 19 basis points, the largest daily move since early 2023. Fed funds futures also rallied, pricing out a December rate hike. The shift to safe-haven assets saw the yen and Swiss franc climb, weakening the dollar. The catalyst appears to be concerns over the immense funding required for AI infrastructure, with Meta Platforms shares sliding nearly 7% after flagging hundreds of billions of dollars in capital expenditure needs. Data center group CoreWeave also saw its value drop 10%.