On October 3, 2023, the S&P 500 Index ($SPX) declined by 0.58%, while the Dow Jones Industrial Average ($DOWI) saw a slight increase of 0.07%. The Nasdaq 100 Index ($IUXX) dropped significantly by 1.24%, largely influenced by an 18% plunge in PayPal Holdings following disappointing earnings and a management shake-up. Despite strong earnings reports from Palantir Technologies, which rose over 5% after forecasting 2026 revenue above consensus, and Teradyne Inc., which was up more than 8%, broader market performance was mixed due to rising bond yields.
Gold prices increased by over 6% and silver saw a surge of more than 13%, helping mining stocks climb as the precious metals rebounded after a recent selloff. The 10-year T-note yield reached a 1.5-week high of 4.3%, reflecting investor response to strong US manufacturing data and comments from Federal Reserve officials, leading to subdued expectations for rate cuts.
The partial US government shutdown has persisted for four days, impacting investor confidence as lawmakers prepare to vote on a funding bill. Important economic reports expected this week include a forecasted increase of 45,000 in the January ADP employment change and an anticipated drop in the January ISM services index.
