Yields hit fresh 5.26% high, gold sinks 3.8% as stocks slide

Treasury yields pushed to a fresh 5.26% close on the 10-year Monday, up 8 basis points on the day, and gold suffered its sharpest one-day drop in weeks, sinking roughly 3.8% to about $4,123 an ounce, as a stronger dollar and rising rate-hike odds hit non-yielding assets across the board. The move came on top of the oil-driven risk-off that opened the week: Brent crude climbed above $106 a barrel, extending its rally after President Trump over the weekend rejected Iran's latest proposal to reopen the Strait of Hormuz. US stocks closed lower for the session as a result.

Markets

The Dow Jones Industrial Average fell 0.7%, the S&P 500 dropped 0.8%, and the Nasdaq Composite lost 0.9% by the close. MongoDB shares tumbled after the surprise departure of its CEO, while Nvidia bucked the slide, rising after unveiling a $150 billion share buyback program. The session's weakness tracked the jump in Treasury yields to 5.26% — the highest close of the current run — alongside the renewed oil-driven inflation worries.

European indices closed broadly lower as the same high oil prices weighed on rate-sensitive sectors on both sides of the Channel. The FTSE 100 finished at 10,833 (-0.10%), the DAX at 26,331 (-0.23%), the CAC 40 at 8,675 (-0.46%), and the Stoxx 600 at 659.48 (-0.16%). The declines were modest but uniform across London and the continent, both pressured by the Hormuz-driven oil spike rattling Wall Street.

Commodities

Brent crude traded above $106 a barrel — as high as $108.83 intraday before settling near $106.89, up about 2.5% on the day — extending Monday's gain after Trump's rejection of Iran's Hormuz reopening proposal revived supply concerns. Gold fell sharply, down roughly 3.8% to about $4,123 an ounce (other trackers put the spot decline nearer 3.2%, to about $4,149), pressured by a stronger dollar, rising Treasury yields, and firming expectations for another Fed rate increase.

Crypto

As of 18:57 UTC, bitcoin traded at $84,020, down 0.5% from the day's 00:00 UTC open of $84,472, after tumbling as low as $82,563 — a 2.3% intraday drop — during the US morning equity selloff before paring most of the loss through the afternoon. Ether bucked the broader risk-off, edging up 0.4% to $2,699 from a $2,688.65 open. Dogecoin was the session's worst major loser, down 2.1% to $0.09496. Solana fell 1.6% to $119.98, BNB dropped 1.1% to $770.28, and XRP slipped 0.3% to $1.5117. Spot bitcoin and ether ETFs had extended inflow streaks into Friday's close (roughly $134 million and $87 million respectively), a tailwind that predates this session.

What it means for crypto trading

A fresh multi-decade high in Treasury yields and gold's sharp selloff both point to a real-rate repricing hitting every non-yielding asset at once, yet bitcoin's afternoon recovery off a $82,563 low — even as equities stayed weak into the close — hints crypto is finding some independent footing rather than trading as a pure high-beta risk proxy today. The next real test is the October 28 FOMC meeting, where market-implied odds of a 25-basis-point hike sit near 70%; a confirmed hike would extend the real-rate pressure now hitting gold into crypto as well.

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