US Stocks Rise to New Highs as Treasury Yields and Oil Prices Retreat
Major US stock indices kicked off Tuesday on a strong note, reaching new intraday highs as Treasury yields and oil prices declined. The S&P 500 and Nasdaq Composite both advanced, with the S&P 500 up 0.58% to 7,818.92 and the Nasdaq Composite gaining 0.57% to 27,634.90. The Dow Jones Industrial Average also rose 0.61% to 51,579.03.
The rally came amid a slight easing in Treasury yields, with the benchmark 10-year yield dipping to 5.303%, down from its highest level since 2002. The 2-year note yield softened to 4.818%, while the 30-year note yield inched up to 5.673%. The pullback in oil prices also provided support, with Brent crude down 2.12% to $98.19 a barrel and West Texas Intermediate lower by 1.58% to $88.02 a barrel.
On the macroeconomic front, the US trade deficit widened in August to $105.6 billion, up from $92.8 billion in July, driven by a sharp rise in imports. Industrial supplies, crude oil, gold, and capital goods saw significant increases, while exports rose modestly. The goods deficit expanded by $12.8 billion to $136.6 billion, though the overall deficit remains narrower than in 2025.
In corporate news, Constellation Brands was set to report its latest quarterly earnings after the market close. Among the top movers, Illumina Inc. surged 11.04%, while Coterra Energy Inc. dropped 8.62%. Other notable risers included Procter & Gamble Co., up 1.71%, and Cisco Systems Inc., which gained 1.50%. On the downside, Apple Inc. fell 0.91%, and Nike Inc. declined 0.87%.