Bonds are getting crushed (SPY, DJI, IXIC, USO, WTI, OIL, UST)
Stocks are rallying and bonds are selling off in early trading on Wednesday.
Near 12:25 p.m. ET, the Dow was up 49 points, the S&P 500 was up 2 points, and the Nasdaq was up 17 points.
Bond yields, which rise when their prices fall, are spiking.
The yield on the benchmark 10-year German bund jumped as much as 12 basis points to around 0.88%, the highest level since November.
US government bond yields are higher across all durations; the benchmark 10-year note rose by up to 9 basis points to 2.37%, its highs of the year.
Markets were fixated on European Central Bank president Mario Draghi, who gave a news conference after the latest monetary-policy decision that left rates unchanged. Business Insider's Myles Udland has the full wrap of his remarks.
In economic data, ADP private payrolls grew by 201,000 in May, just slightly better than expected.
The trade deficit narrowed by 19% to $40.9 billion in April, a steeper decline than was expected. Economists had estimated that the deficit — the excess of imports over exports — would fall to $44 billion.
And, the services sector slowed down in May. Markit's Purchasing Managers' Index came in lower than expected, at 56.2, while ISM's non-manufacturing index fell to 55.7, the lowest reading since April 2014.
Data on US oil inventories are also due Wednesday morning. The Federal Reserve's latest beige book, with anecdotes on the economy from its various districts, will cross at 2 p.m. ET.