US Stocks Rally Despite Oil Price Concerns and Rate-Hike Odds
The US stock market rallied despite rising rate-hike odds and concerns over crude oil prices. The Dow Jones Industrial Average closed at $52,573.29 on Friday, down $840.96 from the previous week.
The Nasdaq Composite Index fell 173.95 points to close at 26,333.04. Crude oil prices were a major concern, with the average price of diesel in the US surpassing $6 per gallon for the first time.
According to data from the CFTC, net long positions in NYMEX WTI crude oil hit a 20-week high as of September 8. This has led to increased interest rates, with the yield on the 10-year US Treasury note closing at 4.97% on Friday.
Despite elevated oil prices and interest rates, technology stocks remained cautiously optimistic due to strong structural trends such as AI and digital transformation.