In European Equity Markets stocks closed lower Wednesday, as rising yields in the bond markets offset excitement surrounding corporate earnings. The pan-European Stoxx 600 closed down 0.77 percent, with most sectors and all major bourses in the red. Basic resources stocks were down almost 1.8 percent while industrials were almost 1.7 percent lower. Metso jumped to the top of the European benchmark Wednesday, up more than 7 percent after reporting an operating profit that was up by 28 percent in the first quarter. The German lighting group Osram fell 17 percent, after cutting its forward guidance for the 2018 fiscal year. 

In Currency Markets the US dollar hit a four-month high on Wednesday after a rise in benchmark U.S. Treasury yields above 3 percent led investors to consider whether the greenback was breaking out of a prolonged weak spell. The dollar’s performance against a basket of major currencies rose as high as 91.241 in early New York trade, its strongest level since Jan. 12. The dollar index last stood at 91.229, up 0.5 percent from its last close. Against the yen, the dollar hit a two-month high of 109.34 yen. The rise in bond yields also weakened Asian emerging market currencies versus the dollar on Wednesday, with the Chinese yuan down and the Indonesian rupiah trading near a two-year low of 13,923 per dollar.

In Commodities Markets U.S. crude rose on Wednesday, shrugging off data showing rising domestic fuel inventories and production, and both U.S. crude and Brent held within sight of three-year highs reached the previous day. Supplier cutbacks, steady demand growth, geopolitical tensions and a favorable structure in the futures market have attracted record investment in oil this year. Brent was down just 26 cents at $73.60, just 2 percent below the November 2014 high of $75.47 reached on Tuesday. U.S. crude futures were up 1 cent at $67.71 a barrel. Crude inventories rose 2.2 million barrels in the week to April 20, compared with expectations for a decrease of 2 million barrels

In US Equity Markets stock indexes swung between gains and losses on Wednesday, as Boeing’s jump after upbeat results and outlook was negated by declines in technology stocks and rising U.S. bond yields. Shares of the world’s biggest plane maker rose 2.8 percent after its profit jumped by more than half in the first quarter and the company raised its full-year forecasts for cash flow and earnings. The S&P 500 was down 0.05 percent, at 2,633.25 and the Nasdaq Composite was up 0.18 percent, at 7,019.84. Comcast rose 3.7 percent after the U.S. cable company submitted a $31 billion offer for pay-TV group Sky, challenging an already agreed but lower takeover bid from Rupert Murdoch’s Fox.

In Bond Markets the benchmark U.S. Treasury 10-year yield edged above 3 percent on Wednesday as jitters about growing federal borrowing spurred more selling in the U.S. government bonds, paving the path for it to visit levels not seen since July 2011. Two-year yield reached 2.508 percent, its highest level since September 2008 before retreating to 2.492 percent, up 1 basis point from late Tuesday. The 5-year Treasury yield was up 2 basis points at 2.833 percent after rising to 2.854 percent earlier Wednesday, which was its highest since August 2009.  The 10-year yield was over 2 basis points higher than late Tuesday at 3.009 percent.