Morning View

Israel and Hamas reach agreement involving release of hostages and gradual withdrawal

International

After several days of indirect negotiations mediated by the United States, Egypt, Qatar, and Turkey, Israel and Hamas reached an agreement for the release of all hostages held in Gaza. In exchange, Israel will release some 2,000 Palestinian prisoners, allow humanitarian aid to enter through international agencies, and begin a gradual withdrawal of its troops to a containment zone within the enclave.

In the United States, the minutes of the Federal Reserve's September monetary policy meeting were released yesterday. The vote in favor of cutting the interest rate by 25 basis points was 11 to 1 among the Committee members. The document reflected a willingness to continue with cuts during the year, although several participants expressed caution about inflationary risks. Officials also acknowledged an increased likelihood of a weakening labor market, although they considered a sharp drop in employment unlikely.

The main U.S. stock indexes advanced yesterday. While the Dow Jones closed flat, the S&P 500 gained ground, rising +0.6%, and the Nasdaq advanced +1.1%. In cumulative terms for 2025, the indexes had variations of +9.5%, +14.8%, and +19.3%, respectively.

Meanwhile, the US Treasury bond yield curve remained virtually unchanged. The 1-year bond closed with a yield of 3.65%, up from 3.64% previously, while the 3-year bond closed at 3.60%, up from the previous close of 3.58%, and the 10-year yield remained unchanged at 4.13%.

As for commodities, most advanced. The WTI oil barrel closed at USD 62.4 and Brent at USD 66.1, with increases of +1.1% in both cases. Gold once again reached its all-time high and closed at USD 4,041 per ounce, with an increase of +1.4%. Finally, soybeans closed with an increase of +0.8%, at USD 378.3 per ton.
 

Sources: PUENTE Hnos, Bloomberg

In the United States, the major stock indexes fell on Tuesday

International

In the United States, the main stock indices fell in the second trading session of the week. The S&P 500 fell -0.4%, the Nasdaq -0.7%, and the Dow Jones fell -0.2%. The sector with the biggest decline was consumer discretionary, with an average of -2.7%, while consumer staples advanced +0.9%. So far this year, the S&P 500 has accumulated a variation of +14.2%, the Nasdaq +18%, and the Dow Jones +9.5%.

Today, the minutes of the Federal Reserve's latest monetary policy meeting will be published, detailing the rationale behind its members' decisions and economic outlook. In September, the Fed decided to cut its benchmark interest rate from 4.50%-4.25% to the current range of 4.25%-4.00%.

Meanwhile, the U.S. Treasury bond yield curve narrowed slightly. The 1-year bond closed with a yield of 3.64%, down from 3.65% on Monday, while the 3-year bond closed at 3.58%, down from the previous close of 3.60%, and the 10-year yield compressed to 4.13% from the previous 4.16%.

Most commodities advanced. WTI crude oil closed at USD 62.1 per barrel and Brent at USD 65.7, up +0.6% and +0.4%, respectively. Gold reached another all-time high, rising +0.5% yesterday to USD 3,981 per ounce. Finally, soybeans closed up +0.3% at USD 375.1 per ton.

Sources: PUENTE Hnos, Bloomberg