Yields Surge, Stocks Fall… And Apple’s Foldable Phone 9/9/26

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Melissa Lee (1:01)

Live from the NASDAQ Market site in the heart of New York City's Times Square, this is Fast Money. Here's what's on tap tonight. Rates on the rise, even as the Treasury takes unprecedented steps to keep long-term yields lower. Why markets still seem spooked and what this week's inflation reports could mean for future moves. And Apple gets brought into the fold, the tech giant unveiling its latest $2,000 device by one top analyst who thinks fans are going to be lining up to get this one. Plus, crude oil hits three-month highs, chewy shares in the dog house after earnings. And we count down to Oracle earnings, what to expect from the tech giant tomorrow night. I'm Melissa Lee, coming to you live from Studio B at the Nasdaq Market site. On the desk tonight, Steve Grasso, Carter Braxton-Worth, Dan Nathan, and Daya Damani. We start off at that great rate rally that sent 10-year Treasury yield to their highest level since November 2023, the benchmark topping 4.85 percent at its peak today. While the 30-year briefly crossed 5.3 percent, the two-year hit its highest in more than well, two years. The move comes despite Treasury Secretary Scott Besson saying the department will buy back up to $6 billion worth of 10- and 20-year notes tomorrow. A strategy designed to help bring down rates, that's three times the normal amount. A strong 10-year auction also did a little to take the pressure off, and it wasn't just here at home. It was in the fields in France, Germany and in Japan. Also higher today. All this ahead of two key inflation reports coming this week. August producer prices out tomorrow morning, CPI on Friday and of course next week's Fed meeting where markets currently see a 60% chance of a rate hike. So what does today's action tell you, Guy?

Guy Adami (2:36)

Tells me, listen, in our world, we all have egos clearly. I mean, if you watch this show, you know we all have some level of egos. And it's important that you have one, but it's also important to have a level of humility as well because the market can do things that you rarely if ever expect. And I think we're borderline now. I think Treasury Secretary Besson is a bit too egotistical in his, some of the statements that he's making and some of the things that he's doing. And the market will shoot against that. So I think that's what we're seeing now. He's the big stack. He has the biggest hedge fund basically in the world right now at his disposal, but the market has other plans. And we've been saying on the show for a while that rates are going higher and they're going higher for the wrong reasons.

Dan Nathan (3:16)

Yeah, you can use the term, Hubris.

We've been in the business for a long time, and normally when somebody kind of puts a billboard up and says, this is what I'm going to do and you guys are wrong, folks kind of shoot against it. And again, he's been a very successful money manager. I think managing the Treasury of the United States is kind of a different game, especially when we're in a position right now geopolitically where there's a lot of folks who just don't see us as those sort of reliable steward of democratic capitalism right now. And I do think it's really important to kind of juxtapose what's going on with Treasury Secretary Besant, who is a political pick, right? And he was approved by the Senate or confirmed by the Senate, and then Fed Chair Warsh. And so Fed Chair Warsh comes into this. He wants to kind of speak less, let the market kind of tell him what's going on. And it looks like Besant is on the exact opposite side. And it'll be really interesting to see how monetary works against some of the fiscal stuff they're looking to do, but also some of the, I don't know what you want to call it, whatever these twists and all this stuff are doing, I mean, it's meant to kind of affect monetary policy. But right now, it has not proven to do so. And I think once we get some of this inflation data this week and we see what Fed Chair Warsh and what the panel says and what they do, I think that's going to be a lot more impactful than what Besant is saying right now.