Video summary
The market is currently facing a challenging session with major indices showing significant weakness as the trading day winds down. The S&P 500 remains negative by approximately 34 points, hovering near the support level established around 7680 earlier in the morning after bouncing from that floor. Meanwhile, the Nasdaq 100 has slipped by a quarter percent to trade at 29,419, exhibiting choppy volatility within a narrow range between 29,380 and 29,460 since the open. The Dow Jones Industrial Average is under substantial pressure, having dropped 319 points or about 6/10% to settle at 53,265, while the Russell index has also declined by roughly 9/10%, contributing to a broad-based sell-off across the equity markets.
Bond yields and mortgage rates are presenting another source of concern for investors, with the ten-year Treasury yield sitting at 4.76% and showing no signs of relief. This surge in long-term rates has pushed mortgage costs to their highest levels since June 2025, a situation that persists despite earlier attempts by the Treasury to intervene or manage the curve. The yield curve's long end is struggling to find support, with prices unable to break below the volume-heavy area seen at the bottom of May, indicating sustained pressure on borrowing costs that could impact consumer spending and broader economic sentiment in the coming months.
In the corporate news sector, Amazon is taking a hit following new regulatory developments involving the Federal Trade Commission. The FTC has recently moved against Amazon regarding allegations of misleading advertisers about pricing within their advertising platforms, specifically targeting what critics call a "black box" system used on Google AdWords and YouTube. This regulatory scrutiny has caused Amazon's stock to fall nearly 3% in early trading, reflecting immediate market concerns despite the speaker's long-term bullish stance on the company. The situation highlights the growing tension between big tech giants and regulators as they navigate complex issues related to digital advertising transparency and consumer protection.
Overall, the day's trading action is characterized by a mix of technical support tests, rising interest rate pressures, and specific corporate headwinds that are weighing heavily on investor sentiment. While crude oil prices have managed to pull back from recent highs yet remain up significantly at 85.66, the broader market landscape remains fragile with gold also trading lower. The combination of stubbornly high ten-year yields hovering near 4.75%, regulatory overhangs for major tech players like Amazon, and a general lack of buying interest across the board suggests that the market is in a defensive posture as it approaches the close of the session.
Read the full video transcript
TFN
Network.
>> [music]
>> TFN N headline news update.
>> [music]
>> Good afternoon, folks. Tommy O'Brien
coming to you live from TFN N 3:00 p.m.
Eastern time. We got 60 minutes left to
go in the trading day and S&P's bouncing
from that area of support that we've had
since about 10:00 a.m. this morning.
We're negative by 34 points or about
4/10% and that area I'm talking about
about 7680 on the S&P's, the floor since
about 10:20 a.m. this morning. You got
Nasdaq 100 down by a quarter percent or
73 points, 29,419.
And you see just kind of the chop,
little volatility on the open and since
then a range between about 29,380
and 29,460.
Dow
under pressure, down by 6/10%. See the
sell-off on the Dow on the open, off 319
points, 53,265
and the Russell off by 9/10% right now.
You got crude prices.
Now we've pulled back from the highs,
but we're still up by $2.26.
Trading up 2.7% at 85.66. You see the
highs pre-market at 86.79 and yields.
We'll be talking about yields coming up
on the program.
And how about this 10-year? Okay, no
reprieve whatsoever. We're going to be
talking about mortgage rates surging to
the highest since June of 2025.
Shouldn't be surprising if you look
where the 10 is, folks, and the 10 is at
4.76.
The war started and we were at four.
We're actually at like 3.96.
Okay, but we'll call it four. And since
then, can't find a bid. You know, yeah,
maybe you found a bid down here at the
bottom of May. Okay, with some volume
for sure, but we're not breaking below
there, and you've got some volume right
now. The 10-year at 4.75 mortgage rates,
the highest they've been
yeah, going back in over a year.
And even the 30-year, right? Look at the
30-year. So much for the long end of the
curve and the Treasury stepping in.
Now, the Treasury Secretary actually
pushing back on some of that critique.
We'll talk about that as well.
But we kick it off with how about
Amazon? Oh boy, the FTC, they're coming
after them. I say oh boy as in the
market responding. Amazon already under
pressure today.
And this was just the news on that FTC
hitting about an hour ago.
Okay, so they're coming after them for
advertising.
Misleading advertisers on prices. You
know, this whole black box deal. Okay,
we promote with
uh Google, AdWords, YouTube. It's always
like this black box, right? So, I can't
wait to see how this one goes. I'm going
to I'm an Amazon bull in the long term,
but as somebody that pays for online ads
from some of these companies, Amazon
down 2.9% right now. Market's in the
red. Gold trading lower. We'll come back
with the Tom O'Brien show, folks.
>> Sure.