Morning Edition · Tuesday, October 6, 2026
Macro
US 10-year Treasury yield reaches 5.34%, the highest since 2002, as the bond sell-off raises borrowing costs for junk-rated companies
The euro fell to a 17-month low on French debt worries, and Banque de France governor Emmanuel Moulin warned that France's annual interest bill could reach €100 billion by 2028 or 2029.
Markets
Brazil's Bovespa rises 7.7% to a record after Flávio Bolsonaro finishes ahead of Lula in the first round
The real (Brazil's currency) gained 4.1% to about 5 per dollar, and the October 25 runoff depends on whether Lula can turn out some of the more than 30 million Brazilians who did not vote.
Markets
Yemeni government forces say they have retaken the Bab el-Mandeb coast as Gulf crude moves out of the region on routes that avoid Hormuz
Standard Chartered estimates that Gulf crude exports excluding Iran are back near pre-war levels even though tanker traffic through the Strait of Hormuz remains well below normal, with Brent near $102 and Murban near $110.
Markets
Gold futures fall below $4,150 an ounce for the first time since September 28 as Treasury yields and the dollar rise
Spot gold traded near $4,129 on Tuesday, about 26% below its 2026 peak, while central bankers told Reuters the metal remains a core reserve asset despite higher bond yields.
Geopolitics
US withdraws bombers from RAF Fairford in Britain over an Iranian drone threat, and Trump tells a rally Iran could "take out" Los Angeles
US officials told The New York Times that 12 bombers left the base after specific threat details emerged, and Israeli outlets report that Iran planned an attack modeled on Ukraine's 2025 drone strike on Russian bomber bases.
Geopolitics
Saudi Arabia, Turkey and Pakistan invoke the Mecca defence pact for the first time and agree to deploy forces to the kingdom quickly
Reuters reports that the August agreement allows for up to 80,000 Pakistani troops, but both Turkey and Pakistan need parliamentary approval, and Pakistan's parliament rejected a similar Saudi request in 2015.
Macro
Bank of Japan prepares to declare that underlying inflation has reached its 2% target
Sources told Reuters the central bank could do so in its October 30 outlook report, one month after it raised its policy rate to a 31-year high, while Nidec's yen bonds fell to the lowest price among more than 3,000 local corporate notes.
Geopolitics
Russia says 650 Ukrainian drones flew toward Moscow overnight in one of the largest attacks on the capital region in two years
Moscow region governor Andrei Vorobyov said a 20-year-old man was killed and six people were injured, while a Russian drone strike closed a bridge in Zaporizhzhia.
Crypto
Bitcoin fails to break $87,000 for a third time and falls to about $85,600 while the Nasdaq closes at a record
The cryptocurrency trades about 32% below the $126,080 peak it reached one year ago today, even as the Solana Foundation and Coinbase roll out new products for institutional trading and custody.
World
Parti Québécois wins the Quebec election with 59 of 127 seats and less than 30% of the vote, reopening the independence question
Party leader Paul St-Pierre Plamondon promises a third referendum but has said he would not hold one before January 2029, and Prime Minister Mark Carney pledged to work with the incoming minority government.
Geopolitics
South Korean ports loaded 176,000 tonnes of fuel onto Russian tankers, including ships under UK and EU sanctions
The shipments, mostly diesel, appear to be legal under South Korean law because Seoul's export controls on Russia cover electronics, machinery and vehicles, not fuel.
Geopolitics
Ethiopia's Abiy vows to secure access to the Red Sea as a rebel offensive and a break with Eritrea raise the risk of a regional war
Ethiopia's government accuses Eritrea, Sudan and Egypt of backing the offensive launched on September 22, and Eritrea cut diplomatic ties with Ethiopia last week.