US stocks rise as falling oil prices ease Treasury yield pressure

  • US stocks ended a volatile week higher as falling oil prices eased pressure on Treasury yields after Thursday's multidecade highs.
  • The Dow gained 479 points, or 0.9%, to 51,829, while the S&P 500 and Nasdaq each rose 0.5%; Brent fell 1% to $105.60.
  • Gold held near $4,280 and markets priced a 69% October Fed-hike probability as possible US-Iran discussions supported gradual Strait of Hormuz reopening prospects.

Wall Street ended a volatile week higher Friday as falling oil prices helped halt a surge in Treasury yields that had reached multidecade highs Thursday. The Dow Jones Industrial Average rose 479 points, or 0.9%, to 51,829, ending a three-day losing streak, while the S&P 500 and Nasdaq composite each advanced 0.5%. Brent crude fell 1% to $105.60 a barrel after reports that the United States and Iran were moving closer to an arrangement involving naval blockades on tankers in the Persian Gulf, economic measures against Tehran and a gradual reopening of the Strait of Hormuz. Gold traded near $4,280 an ounce and remained down more than 1% for the week as elevated yields, a stronger dollar and expectations of further Federal Reserve increases reduced bullion's appeal. The 10-year and 30-year Treasury yields stabilized at 5.161% and 5.463%, below Thursday peaks of 5.225% and 5.502%, while markets priced a 69% probability of another 25-basis-point Fed increase in October after last week's hike raised the fed funds target range to 3.75%-4.00%.

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