U.S. stocks hold steady as 10-year yield reaches 5.29%

  • U.S. stocks traded narrowly as the Dow and Russell 2000 declined while technology shares held up.
  • 10-year Treasury yield rose 4 basis points to 5.29%, its highest level since 2007.
  • Mediators pursued a Strait of Hormuz reopening deal after Trump rejected Iran's terms.

U.S. stocks were little changed by midday Tuesday, with the S&P 500 down 0.3% at 7,657 and the Dow Jones Industrial Average off 0.7% at 51,140. The Nasdaq 100 was nearly flat at 30,283, while the Russell 2000 fell 0.7% to 2,797. The 10-year Treasury yield rose about 4 basis points to 5.29%, its highest level since 2007, after an 8-basis-point jump Monday. Oil remained elevated as mediators worked on a deal to reopen the Strait of Hormuz, although Trump rejected Iran's terms to lift the U.S. blockade and oil sanctions. WTI traded around $92 to $93 a barrel and Brent near $105, while Kpler data showed Hormuz flows at roughly half pre-war levels. August job openings declined to 7.079 million, below expectations of 7.228 million and the prior 7.335 million, while consumer confidence also disappointed. The PCE (personal consumption expenditures) inflation report is due Wednesday and the jobs report Friday. Carnival surged after beating quarterly estimates and raising its full-year outlook, while Bloom Energy and optical connectivity stocks rallied. Fair Isaac plunged after Federal Housing Finance Agency Director Bill Pulte announced a mortgage pricing grid allowing VantageScore to compete with FICO.

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