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ASX 200 lifts as investors brace for higher yields and US tech earnings

EditorOliver Gray
Published 24/10/2023, 12:09 pm
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Investing.com - Despite overnight fluctuations in the bond market, the Australian share market kicked off on a high note on Tuesday. The benchmark S&P/ASX 200 index climbed 24.3 points or 0.4% to 6,868.4 after the first two hours of trade.

On Wall Street the previous night, the Dow Jones experienced a 0.6% dip, the S&P 500 slipped by 0.2%, while the tech-centric Nasdaq rose by 0.3%. In the digital currency world, Bitcoin surpassed the $US31,000 mark.

The initial rise in bond yields on Wall Street was triggered by the increasing US debt and renewed fears of a more extensive Middle East conflict. The yield on the US 10-year note saw a nearly 20-basis-point range swing, falling after momentarily hitting 5 per cent. The VIX, an indicator of equity market volatility, ended down 6.2 per cent at 20.37.

Upcoming key events include the release of the Flash October PMIs for the Eurozone, UK, and US, along with the International Energy Agency's annual world energy outlook report. Michele Bullock, the Governor of the Reserve Bank of Australia, is set to deliver a speech at 7pm tonight (AEDT), marking her first prepared address since her appointment.

In the US, the earnings season is picking up steam. After the closing bell in New York tomorrow, tech giants Microsoft Corporation (NASDAQ:MSFT) and Alphabet (NASDAQ:GOOGL) Inc (NASDAQ:GOOG) are anticipated to announce their results. Later in the week, Meta Platforms Inc (NASDAQ:META), International Business Machines (NYSE:IBM), Amazon.com Inc (NASDAQ:AMZN), and Intel Corporation (NASDAQ:INTC) will also reveal their performance.

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