Stocks fall as oil retreats from highs on renewed Middle East negotiation hopes
SPY•Major U.S. stock indexes fell Monday as oil prices pulled back from earlier highs and Treasury yields rose. The S&P 500 lost 0.8%, while U.S. crude settled at $92.60 a barrel and Brent at $105.28.
1. Stocks and oil move
The S&P 500 fell 0.8% to 7,683.69, the Nasdaq Composite dropped 0.9% to 26,820.38 and the Dow declined 0.7%. U.S. crude rose 19 cents to settle at $92.60 a barrel, while Brent gained 96 cents to $105.28, after both contracts gave back some earlier gains as Qatari mediators prepared to hold talks with the United States and Iran.
2. Yields climb
The 30-year Treasury yield rose to 5.5704%, after earlier reaching its highest level since mid-May 2004. The 10-year yield reached its highest since mid-June 2007 before paring gains. Markets implied roughly a 70% chance of another Federal Reserve rate hike in October.
3. Investors watch data
September U.S. payrolls and the personal consumption expenditures price index were scheduled for release that week. Nvidia rose 1.7% after boosting its share buyback authorization by $150 billion.
