• Wall Street equities ended mixed on May 31, with the DJI surged by +1.51%, the S&P 500 grew by +0.80%, and the Nasdaq edged down by -0.01%.
• US stocks advanced on Friday, except for the Nasdaq, propelled by end-of-month volatility and index rebalancing. Declines in the 10-year T-note yield following the expected US PCE deflator supported gains, while tech stocks were weighed down by weak chip stocks and selling pressure on mega-cap tech stocks.
• The 10-yr UST yields fell by -4.0 bps to 4.51%, while the 2-yr yields slid by -3.0 bps to 4.89%. T-notes yields declined on Friday, following the as-expected US PCE deflator and a weaker-than-expected US personal spending report.
• The US April PCE deflator rose by 0.3% MoM and 2.7% YoY, unchanged from March and in line with expectations. Meanwhile, the core PCE deflator increased by 0.2% MoM and 2.8% YoY, aligning with market forecasts.
• US April personal spending rose 0.2% MoM, down from March's revised 0.7% and slightly below market expectations of 0.3%. Personal income in April increased by 0.3% MoM, in line with market expectations and down from March's +0.5%.
• The Eurozone May preliminary CPI increased to +2.6% YoY from +2.4% in April, slightly exceeding market expectations of +2.5%. The Eurozone May preliminary core CPI rose to +2.9% YoY from +2.7% in April, which was stronger than market expectations of +2.7%.
• Global bond yields were mixed on Friday, the German bund yield rose by +1.2 bps to 2.66%, while the 10-yr UK gilt yield slid by -2.8 bps to 4.31%. The Japanese 10-yr JGB yield inched up by +0.6 bps to 1.07%.
