Friday Afternoon Coffee - Markets Update - 12 Sep 2025 - Stocks Hold Near Highs as Dollar, Yields Rise; Gold Stays Close to Record

The Trade Academy Team
Sep 12
2 min read

Markets Update: Global equities lingered near record territory on Friday while the dollar and Treasury yields climbed, reversing Thursday’s pullback as investors weighed signs of softening U.S. consumer sentiment against expectations for looming Federal Reserve rate cuts. Gold hovered close to all-time highs, logging a fourth consecutive weekly advance as traders sought havens amid lingering concerns over the global economy.

Global Markets Roundup: 12 September 2025

Consumer Sentiment Weakens

The University of Michigan’s September survey showed U.S. consumer sentiment fell for a second straight month, reaching its lowest since May. Respondents cited growing risks to business conditions, inflation, and the labor market outlook.

Stocks Mixed After Thursday’s Records

MSCI’s global benchmark edged up 1.11 points, or 0.11%, to 972.56, holding near Thursday’s record. European equities slipped, with the STOXX 600 down 0.05%, while Asian markets rallied, led by Chinese stocks hitting a 3½-year high on optimism over AI-related earnings.

On Wall Street, trading was uneven following Thursday’s record closes for all three major indexes. At 10:53 a.m. ET:

Dow Jones Industrial Average: -181.21 points (-0.39%) to 45,927.30
S&P 500: +2.16 points (+0.03%) to 6,589.63
Nasdaq Composite: +88.75 points (+0.40%) to 22,131.82

Traders still expect the Fed to deliver three consecutive cuts, starting with its Sept. 17 meeting, despite Thursday’s hotter-than-expected CPI print. Weak jobless claims data kept rate-cut bets intact.

Dollar and Yields Gain

The dollar strengthened alongside Treasury yields:

Dollar Index (DXY): +0.13% to 97.68
USD/JPY: +0.31% to 147.65 after U.S. and Japan reaffirmed no FX targeting
EUR/USD: -0.09% to $1.1722
GBP/USD: -0.13% to $1.3555 as UK July GDP showed flat growth and weaker factory output.

Bond yields climbed, reversing Thursday’s retreat:

10-year Treasury: +5.3 bps to 4.064%
30-year Treasury: +4.5 bps to 4.696%
2-year Treasury: +2.9 bps to 3.558%

Commodities: Oil Up, Gold Steady Near Record

Oil surged nearly 2% after a Ukrainian drone strike halted operations at a Russian port, outweighing supply and demand concerns:

WTI Crude: +1.35% to $63.21/barrel
Brent Crude: +1.46% to $67.34/barrel

Gold continued its rally:

Spot Gold: +0.4% to $3,648.39/oz
U.S. Gold Futures: +0.31% to $3,648.00/oz

Sugar futures inched above 15.8 cents/lb after the USDA issued its supply and demand report.

Grains: Corn and Soybeans Advance, Wheat Slips

Chicago grains reacted to the USDA’s monthly crop update, which confirmed record U.S. corn acreage since 1933 and larger output forecasts, though yields came in below prior expectations.

Soybeans (ZS1!): +14¼ cents to $10.47¾/bushel
Corn (ZC1!): +7¼ cents to $4.27/bushel
Wheat (ZW1!): -½ cent to $5.21/bushel

Outlook

With stocks perched at record highs, investors now await next week’s Fed decision and Jerome Powell’s remarks. Markets remain split between confidence in rate cuts and unease over stretched valuations, weak sentiment, and geopolitical tensions.

Looking forward, refer to the economic calendar below to see the upcoming events scheduled for today and the rest of the week.

General news - Information source from multiple newswires.

The article and the data is for general information use only, not advice!

The Trade Academy Team