Stock Market News Today, 5/23/25 – Futures Steady amid Persistent Treasury Yield Worries

U.S. stock futures were muted early Friday as investors weighed the impact of higher Treasury yields on the economy. Futures on the Nasdaq 100 (NDX), the Dow Jones Industrial Average (DJIA), and the S&P 500 (SPX) were up 0.16%, 0.18%, and 0.19%, respectively, at 3:58 a.m. EST, May 23.

In Thursday’s regular trading session, the S&P 500 and the Dow Jones closed marginally lower, marking their third consecutive day of losses. However, the Nasdaq Composite (NDAQ) gained about 0.3%.

It must be noted that the recent passage of President Trump’s tax bill has raised concerns about its potential impact on the national debt and deficit, pushing long-term Treasury yields higher.

The 30-year Treasury bond yield reached its highest point since October 2023, touching 5.161%, while the 10-year Treasury note yield briefly surpassed 4.6%. Both yields retreated from their session highs by the close.

These concerns were escalated by Moody’s (MCO) recent downgrade of the US credit rating from Aaa to Aa1, citing escalating deficits and the rising cost of servicing the national debt.

Overall, the major stock averages are headed for weekly losses, with the S&P 500, the Dow Jones, and the Nasdaq 2%, 1.9%, and 1.5%, respectively, through Thursday’s close.

Today, investors are awaiting the release of Building Permits and New Home Sales data points for further economic insights. On the earnings front, Booz Allen Hamilton (BAH) and Buckle (BKE) are scheduled to release results today.

Looking ahead, the stock market will be closed on Monday for the Memorial Day holiday.

Meanwhile, the U.S. 10-year treasury yield was down, floating near 4.519%. Simultaneously, WTI crude oil futures are trending lower, hovering near $60.69 per barrel as of the last check.

Elsewhere, European indices opened higher today, as falling bond yields provided investors some relief, while better-than-expected economic data boosted market sentiment.

Asia-Pacific Markets Traded Mixed Today

Asia-Pacific indices were mixed today, as investors reacted to economic data and global market trends. Japan’s core inflation rose to 3.5% in April, adding complexity to the Bank of Japan’s rate policy.

At the same time, the Hong Kong index was up 0.08%. Also, Japan’s Nikkei and Topix indices gained 0.47% and 0.68%, respectively. However, China’s Shanghai Composite and Shenzhen Component indices closed lower by 0.94% and 0.85%, respectively.

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