Nasdaq Closes Higher; Treasury Yields Resume Their Climb
Tech shares helped boost U.S. stock indexes Monday, despite pressure from higher yields on longer-term Treasurys.
Yields, which rise when bond prices fall, drifted higher overnight. They added to those gains around the start of U.S. trading, with investors continuing to scale back bets on future interest-rate cuts due to the stubbornly strong U.S. economy.
The 10-year yield closed at 4.339%, above the nearly 16-year high it set last Thursday, to again mark its highest close since November 2007. Get today's full markets roundup here.
Rising yields have weighed on stocks, with all three major indexes logging losses last week. Volatility in stocks this month has some traders turning to one-day options, as the Journal's Gunjan Banerji explains.
As of around 4 p.m. ET:
- U.S. stocks finished mostly higher. The Nasdaq gathered strength in afternoon trading to close up 1.6%, while the S&P 500 climbed 0.7%. The Dow ended slightly lower. All three indexes are in the red for the month so far.
- Tech shares gained. Nvidia rallied ahead of its much-anticipated earnings release on Wednesday. Meta Platforms and Microsoft were also solidly higher, as was Tesla.
- Treasury yields gained. The rout in bonds was again led by longer-term Treasurys. The two-year yield also rose to 4.99%.
- Chinese stocks slid. The benchmark CSI 300 lost 1.4% and Hong Kong’s Hang Seng Index fell deeper into a bear market. China’s faltering economy remains in focus for investors, after key bank lending rates weren't cut as much as the market was expecting.
- European natural gas prices jumped again. Labor disputes in Australia’s energy industry have driven up gas prices in Europe more than 30% in August.
- Coming up: Later this week, central bankers including Federal Reserve Chair Jerome Powell will speak at the annual Jackson Hole gathering. The Journal's Dion Rabouin breaks down what to watch for here.
—By Chelsey Dulaney and Sam Goldfarb
Get smarter about markets with our freemorning and evening newsletters, delivered every weekday.
All comments
Beatriz Córdoba
14 Dec 2022
Lorem ipsum dolor sit amet consectetur, adipisicing elit. Deleniti illum repudiandae alias, eveniet quos, nihil saepe hic incidunt odio porro est magni earum officia officiis itaque accusamus aliquid ratione.
Beatriz Córdoba
16 Dec 2022
Lorem ipsum dolor sit amet consectetur adipisicing elit. Ipsam adipisci quas laborum aliquid beatae minus ea vero dolores autem illum nulla neque, quis cupiditate a voluptatibus nam perspiciatis debitis. Libero nihil vitae recusandae quae sunt dicta provident aspernatur veniam nemo rerum. Sint, in deleniti consectetur distinctio saepe ducimus quae mollitia.