Global Bond Yield Surge Triggers Pre-Market Slide

Stock futures are firmly lower this morning as the global bond selloff intensifies and expectations for another interest rate hike from the Federal Reserve grows. Futures on both the Dow Jones Industrial Average (DJI) and Nasdaq-100 Index (NDX) are down triple digits, while the S&P 500 Index (SPX) sits sharply lower as well.

The 10-year Treasury yield hit 5.15%, its highest level since July 2007, while the 30-year yield just touched levels not seen since 2004. The pressure is extending overseas, with Japan's 10-year bond hitting a 30-year high and European yields reaching multiyear peaks. Oracle (ORCL) is weighing heavy as well, after Bloomberg said the company claimed force majeure to avoid a New Mexico data center being built.

Continue reading for more on today's market, including:

• Spotify stock just crossed below a key bearish trendline.
• Quantitative data names the best sector to buy in Q4. 
• Plus, DRI slips after earnings; MGM buyout proposal withdrawn; and behind BlackBerry's beat-and-raise. 

5 Things You Need to Know Today

1. The Cboe Option Exchange saw roughly 2.6 million call contracts and 1.2 million put contracts traded on Wednesday. The single-session equity put/call ratio fell to 0.46, while the 21-day moving average remained at 0.59. 
2. Darden Restaurants Inc (NYSE:DRI) is down 3.6% premarket, after the Olive Garden parent posted fiscal first-quarter earnings in line with estimates alongside lower-than-expected revenue. The company also reported slower growth and reaffirmed its fiscal 2027 outlook. Should these losses hold, the equity will be on pace to to snap a four-day win streak. DRI is up 16.1% year to date. 
3. MGM Resorts International (NYSE:MGM) is 9.9% lower before the bell, after Barry Diller's People withdrew its $18 billion proposal to buy the casino name. In response, Mizuho slashed its price target to $55 from $60. MGM is heading into today with a 3.7% year-to-date gain. 
4. BlackBerry Ltd (NYSE:BB) is up 2.7% in electronic trading, after the company posted better-than-expected second-quarter earnings and revenue and lifted its full-year guidance with help from QNX growth. Since the start of the year, BB has surged 128%. 
5. A handful of economic data is still due out this week. 

U.S. and China Extend Trading Truce Ahead of Meeting

Asian markets moved mostly lower, as investors await today’s meeting between Chinese President Xi Jinping and U.S. President Donald Trump in Washington, D.C. Tech is in focus, after China’s DeepSeek reported an annual revenue rate of $1 billion, more than doubling the AI startup’s numbers from a few months back. The U.S. and China also extended their trading truce for another eight weeks, keeping tariffs lower and the rare earth exchange going. For the session, Hong Kong’s Hang Seng shed 0.3%, while China’s Shanghai Composite slid 1.2%. Over in Japan’s Nikkei bucked the trend with a 0.8% gain, even as, mentioned above, the 10-year bond yields hits 30-year highs. The South Korean Kospi was closed for holiday.

Stocks in Europe are mixed, as investors keep a close watch on Middle East developments and the subsequent impact on crude prices. London’s FTSE 100 is clinging to a 0.1% gain, while France’s CAC 40 and Germany’s DAX sport drops of 0.2% and 0.3%, respectively.