Stocks Steady as Oil and Bonds Stabilize While Yen Gains

US equity-index futures fluctuated as oil prices and Treasury yields stabilized, while the yen jumped more than 1% against the dollar as investors focused on factors that could bolster the currency, according to Bloomberg. Futures for the S&P 500 and Nasdaq 100 were little changed and Europe's Stoxx 600 edged 0.1% higher, with technology shares in focus after Broadcom predicted a boom in AI chip sales over the next two years. South Korea's Kospi, a barometer of AI investments, swung sharply — rising as much as 1.8% before falling as much as 1.9% — and closed up 0.26% at 6,579.48. The yen rose as much as 1.4% to 156.41 per dollar as traders questioned the view that the Bank of Japan will move too slowly in raising rates, with news from the nation's biggest pension fueling talk of more positive fund flows and speculation about possible intervention. The currency pared gains after Bloomberg reported the BOJ is leaning toward raising its benchmark rate by a quarter point this month in response to upward price risks, while remaining flexible on the pace of future hikes. Brent crude halted a three-day rally, falling 1.3% to $94.35 a barrel after President Donald Trump said renewed attacks on Iran would likely be short-lived and reiterated his claim that the US controls the Strait of Hormuz, easing pressure on Treasuries. The moves followed a cautious start to September, when global bond yields surged as renewed fighting in Iran drove oil higher, fueling inflation concerns and bets on a Federal Reserve rate hike this month. With earnings season largely over, attention shifts to Friday's US jobs report. Candriam's Nadege Dufosse said there is no structural trend in the direction of travel and the market typically follows short-term oil moves, calling it complicated to navigate. European natural gas futures rose for a fourth day toward their highest close since early 2023, and base metals advanced, with London copper trading less than $300 a ton below January's record. A Bloomberg gauge of the dollar slipped for a second day, gold rose about 1% to around $4,420 an ounce, and the 10-year US Treasury yield was little changed at 4.77%. In corporate news, Elliott Investment Management has built a sizeable stake in Deutsche Telekom and indicated it should ditch a potential merger with T-Mobile US, while Hewlett Packard Enterprise declined in late trading after sales missed high expectations.