US stocks rebound as Treasury yields retreat after weak labor data

  • US stocks recovered as Treasury yields paused or retreated, with the Dow and S&P 500 advancing while technology benchmarks were mixed.
  • The 10-year Treasury yield reached 4.818% before easing to roughly 4.78% after ADP reported 38,000 August private-sector jobs.
  • Investors awaited the official August jobs report and Federal Reserve guidance as markets priced a 60% to 67% chance of a September rate hike.

US stocks recovered from an earlier pullback as Treasury yields paused or retreated, with the Dow Jones Industrial Average and S&P 500 rising while technology benchmarks and chipmakers were mixed. The 10-year Treasury yield reached 4.818%, its highest level since November 2023, before easing to roughly 4.78% after ADP reported 38,000 private-sector jobs added in August, below expectations of 46,000 to 53,000. Investors are assessing the official jobs report, Federal Reserve communication, oil prices and a 60% to 67% probability of a September rate hike.

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