Wall St declines as oil prices, Treasury yields remain elevated
SPY•Wall Street’s main indexes fell as oil prices and Treasury yields remained elevated, with the Dow down 0.45%, the S&P 500 down 0.54% and the Nasdaq down 0.60%. Nvidia rose about 2% after announcing a $150 billion share repurchase authorization, while Tesla fell more than 3%.
1. Indexes fall
Wall Street’s main indexes declined on Monday, paring steeper losses as oil prices and Treasury yields retreated from intraday highs. Investors weighed uncertainty over prospects for an Iran peace deal and the Federal Reserve’s rate path. The Dow fell 233.07 points to 51,595.55, the S&P 500 lost 42.06 points to 7,701.35 and the Nasdaq Composite dropped 163.75 points to 26,904.96.
2. Oil and rate concerns
Crude prices jumped after President Donald Trump rejected Iran’s peace offer, then pared gains on expectations that Qatari mediators would hold talks. Higher crude and diesel prices have fueled inflation concerns and pushed Treasury yields higher. Markets priced in a 68.1% chance of a Fed rate increase of at least 25 basis points at its October meeting, up from 57.6% a week earlier.
3. Nvidia gains, Tesla falls
Nvidia gained about 2% after announcing a $150 billion share repurchase authorization, its largest-ever buyback. Tesla fell more than 3% after J.P. Morgan lowered its price target, citing weak third-quarter deliveries.
