Global announced M&A has reached $3.8 trillion this year despite a roughly 10% year-on-year drop in third-quarter volume, leaving dealmakers within reach of the $5 trillion-plus record set in 2021. Higher rates, AI uncertainty and the US midterm election could complicate timing and financing, though advisers say boardroom appetite for large transactions remains strong.

US Treasuries posted their worst month in four years as the 10-year yield climbed above 5.3%, its highest level since 2002. Inflation, rising federal debt and strong economic growth have pressured bonds, while forced selling by leveraged funds and mortgage-backed securities investors has intensified the rout. Investors say a lack of buyers could prolong volatility.

The Securities and Exchange Commission has proposed changes aimed at expanding individual investors' access to private markets, including allowing certain credential holders and investors who pass a FINRA-developed exam to qualify as accredited investors. Separate proposals would broaden advisers' ability to charge performance-based fees and update interval fund rules, including by allowing monthly repurchases. The proposals are open for public comment for 60 days.

The Federal Reserve finalized changes to its annual stress tests for large banks, including seeking public input on scenarios and material model changes and averaging two years of results when setting stress capital buffers. The Fed said the changes could reduce year-over-year volatility in capital requirements by about 50% without materially affecting aggregate capital requirements. "Today's changes preserve its resilience by ensuring that it is transparent, granular and risk-sensitive," said Vice Chair Michelle Bowman.