10 April 2026
US stocks extended gains on Thursday, amid investor optimism over easing geopolitical tensions. The S&P 500 rose 0.6%.
US Treasuries edged slightly higher amid in-line PCE inflation and softer-than-expected US personal income data. 10-year yields ended at 4.28% (-1bp) and 2-year yields fell 2bp to 3.77%.
European stocks fell on Thursday amid lingering geopolitical uncertainty in the Middle East. The Euro Stoxx 50 lost 0.3%. The German DAX dropped 1.1% and the French CAC closed 0.2% lower. In the UK, the FTSE 100 ended little changed.
European government bonds fell. 10-year German bund yields climbed 5bp to 2.99% and 10-year French bond yields rose 3bp to 3.61%. In the UK, 10-year gilt yields gained 4bp to 4.75%.
Asian stock markets ended mostly lower on Thursday, as investors continued monitoring geopolitical developments in the Middle East. Japan’s Nikkei 225 fell 0.7% and Korea’s Kospi lost 1.6%. Hong Kong’s Hang Seng and China’s Shanghai Composite retreated 0.5% and 0.7% respectively. Elsewhere, India’s Sensex ended 1.2% lower.
Crude oil prices rose in choppy trading on Thursday, after falling sharply on Wednesday. WTI crude for May delivery settled 3.7% higher at USD97.9 a barrel.
In the US, the final Q4 GDP came in at 0.5% qoq annualised, revised down from the previous estimate of 0.7% qoq. The revision reflected weaker inventories. The PCE price index rose 2.8% yoy in February, unchanged from January.
In Brazil, rising commodity prices should lift headline inflation in March. Core services inflation remains sticky amid a tight labour market.
In the US, rising energy prices are set to boost headline CPI inflation in March, spilling over to transport services and goods inflation during 2026. Higher gasoline prices are expected to weigh on consumer confidence in April. Household inflation expectations may increase.
We’re not trying to sell you any products or services, we’re just sharing information. This information isn’t tailored for you. It’s important you consider a range of factors when making investment decisions, and if you need help, speak to a financial adviser.
As with all investments, historical data shouldn’t be taken as an indication of future performance. We can’t be held responsible for any financial decisions you make because of this information. Investing comes with risks, and there’s a chance you might not get back as much as you put in.
This document provides you with information about markets or economic events. We use publicly available information, which we believe is reliable but we haven’t verified the information so we can’t guarantee its accuracy.
This document belongs to HSBC. You shouldn’t copy, store or share any information in it unless you have written permission from us.
We’ll never share this document in a country where it’s illegal.
This document is prepared by, or on behalf of, HSBC UK Bank Plc, which is owned by HSBC Holdings plc. HSBC’s corporate address is 1 Centenary Square, Birmingham BI IHQ United Kingdom. HSBC UK is governed by the laws of England and Wales. We’re authorised by the Prudential Regulation Authority (PRA) and regulated by the Financial Conduct Authority (FCA) and the PRA. Our firm reference number is 765112 and our company registration number is 9928412.
