Yields rise, but growth leadership holds firm
QQQ•U.S. indexes were mixed early Monday as the 10-year Treasury yield hovered around 5.30%, while the Nasdaq and S&P 500 gained and the Dow dipped. Software and services stocks rose more than 1%, and Nvidia was on track for another record closing high.
1. Yields and indexes
Wall Street’s major indexes were mixed and relatively quiet early Monday as investors assessed rising Treasury yields and the outlook for Fed policy. The 10-year Treasury yield hovered around 5.30%; a higher finish for the week would mark its sixth consecutive weekly advance. September’s ISM non-manufacturing PMI was 54.9, compared with an estimate of 55.2.
2. Growth stocks lead
Growth and technology leadership remained concentrated, with the Nasdaq Composite, Nasdaq 100, S&P 500 technology sector and S&P 500 Growth Index on track for record closing highs. The Magnificent Seven ETF was also pacing toward a new closing record, helped by Nvidia, which was on track for another all-time closing high. Software and services stocks rose more than 1%.
3. Other market moves
Most S&P 500 sectors were higher, with communication services up about 0.7%; industrials, staples and real estate were lower. Regional banks, transports, housing-related stocks, and gold and silver miners were also under pressure. U.S. crude fell about 1.5%, slipping below $90 a barrel; the dollar rose and gold slipped.
