Stock market today: Dow, S&P 500, Nasdaq fall for fourth straight day as bond yields jump, oil stays above $100

US stocks sank on Thursday as oil prices and Treasury yields continued to climb and investors assessed fresh wholesale inflation data.

The Dow Jones Industrial Average (^DJI), S&P 500 (^GSPC), and tech-heavy Nasdaq Composite (^IXIC) all dropped by about 0.6%, with all three indexes losing for a fourth straight day.

Stocks cooled this week as oil prices topped $105 per barrel after Iran targeted US Navy warships in the latest escalation in the Middle East conflict, and Saudi Arabia said that its oil production fell to the lowest level since 1990.

President Trump said Wednesday that oil prices may not come down until after the midterm elections two months away. The ongoing US-Iran war and disruptions in the Strait of Hormuz have raised concerns that an energy shock could flow into broader inflation and all but force the Federal Reserve to raise interest rates.

Oil's move higher helped prop up the 10-year yield (^TNX), which hit a multi-year high amid bets that the Federal Reserve will raise interest rates next week.

On Thursday, wholesale inflation data showed producer prices rose on a monthly and yearly basis, largely in line with expectations, setting the stage for the government's consumer inflation report, due out Friday. The Producer Price Index rose 5.4% year-on-year, and 4.6% on a core basis.

After the bell, Oracle (ORCL) is expected to report earnings, offering a reality check on AI capital expenditures and demand.

• Ines Ferré## Dow, S&P 500, Nasdaq slip for fourth day in a row as oil surges past $105Stocks declined for a fourth straight day on Thursday as Treasury yields climbed and oil surged past $105 a barrel. The Dow Jones Industrial Average (^DJI) fell 0.6%, while the S&P 500 (^GSPC) dropped 0.58%. The tech-heavy Nasdaq Composite (^IXIC) sank 0.65%. Bonds sold off, pushing the yield on the 10-year note to its highest level since 2023. The 2-year yield also jumped, reflecting growing expectations that Federal Reserve policymakers could raise rates at their meeting next week. On Friday, investors will get the latest monthly inflation report — a key data point the Fed will weigh in deciding its next move. A hotter-than-expected reading could further fuel expectations for a rate hike, while an in-line or cooler reading could ease those concerns.
• Grace O'Donnell## Apple stock rises as Wall Street gives new iPhone Duo delayed approvalInvestors appear to be coming around to Apple's (AAPL) iPhone Duo and AI strategy, if the stock is any indication today. Shares of the tech giant rose 3% in afternoon trading on Thursday, rebounding from a more subdued reaction to John Ternus's debut iPhone launch event since becoming Apple's CEO. "John Ternus' first event as Apple CEO introduced one of the most consequential changes in the iPhone, a foldable phone (iPhone Duo) priced at $1,999," analysts at Oppenheimer wrote in a note on Thursday. "We expect iPhone Duo to emerge as the most successful foldable phone on the market, but supply is likely limited to 8M-10M this year due to capacity and yield constraints." Apple was one of just two "Magnificent Seven" stocks in the green today. The other, Alphabet (GOOG, GOOGL), rose by a more modest 0.6%. The other Magnificent Seven tech giants traded lower amid a broad-based sell-off in markets.
• Jake Conley## Oil prices surge as Saudi Arabia reports plunging crude oil production numbersBrent oil pushed past $105 per barrel, and US WTI crossed $100 for the first time in months as conflict expanded in the Middle East and Saudi Arabia warned its oil production has fallen to multi-decade lows. Futures on Brent crude (BZ=F), the international benchmark, advanced by more than 5% to cross $107 per barrel in midday trading, while those on US benchmark WTI crude (CL=F) rose more than 5.5% cross over $101 for the first time since mid-May. The advances on Thursday push gains over the past five sessions for both products past 10%, the most dramatic rally since mid-July. News that Saudi Arabia told the Organization of the Petroleum Exporting Countries — of which Saudi Arabia is the leading member — that its oil production levels had fallen to the lowest level since 1990 immediately sent prices higher on Thursday, Leaders in Riyadh told OPEC that the kingdom's oil output had fallen to 6.238 million barrels per day, Bloomberg was first to report, down another 1.9 million bpd from its last monthly report to the OPEC cartel. Saudi Arabia is the world's second-largest oil producer, behind only the US, so its production figures are closely watched, especially as the war in Iran has thrown the global energy complex into disarray. Investors are also closely watching the resurgence in direct combat between the US and Iran, as well as the western front in Yemen, where the Houthis have been launching attacks against Saudi energy facilities. Gasoline prices at the pump in the US advanced to a national average of $4.27 on Thursday, up from $4.22 on Wednesday. Diesel prices, pushed even higher by the shortages in the refined market, averaged $5.97 on Thursday.
• Claire Boston## Mortgage rates cross 7% for first time in a yearMortgage rates crossed 7% for the first time in over a year as rising oil prices, hot wholesale inflation, and a promise from President Trump to give $5,000 to every adult if Republicans maintain control of Congress in November heightened an ongoing bond market selloff. Rates on Thursday averaged 7.07%, according to Mortgage News Daily, a 10 basis-point jump from a day earlier. The 10-year Treasury yield, which mortgage rates closely track, surged 8 basis points on Thursday to more than 4.9%, reaching new multi-year highs. Treasury yields, and mortgage rates, have experienced heightened volatility in recent days, with the 10-year yield rising more than 12 basis points in less than a week. The Treasury Department attempted to tamp down yields with bigger bond buybacks, but the effort made little difference.
• David Hollerith## US Perpetual futures just went metalCrypto's most popular derivative has officially made its way to US-regulated precious metal markets. Kalshi said Thursday it has officially launched perpetual futures contracts tied to gold and silver following approval from the Commodity Futures Trading Commission on Wednesday. Perpetual futures, or "perps," allow traders to make leveraged bets on an asset's price without an expiration date. Unlike traditional futures, traders can maintain their position indefinitely instead of periodically rolling into a new contract. That's seen as more efficient and cost-effective for assets without clear expiration dates like bitcoin and ether. These products have already earned some credit from Wall Street for how their offshore versions helped lead Wall Street's pricing, including during the outbreak of the US war with Iran in March and ahead of SpaceX's banner IPO in June. But how much these speculative instruments threaten the US futures market's most powerful incumbents, including CME (CME), Cboe (CBOE), and the New York Stock Exchange parent company Intercontinental Exchange (ICE) remains an open question. The CFTC approved crypto perps in May. But the approval of metal perps marks a new milestone. Kalshi has also sought approval for perps tied to foreign currencies, interest rates, crude oil, and stock indexes. The CFTC has said it plans to consider new asset classes on a case-by-case review. The 24/7 products are also known for offering easy access to leverage, which has proven highly popular with retail investors. Kalshi said its crypto perps generated $5.5 billion in trading volume in the first two weeks after its July launch. And for the three weeks ending Sept. 2, perp trading volume reached $13.7 billion, nearly twice its level for all of July.
• Ines Ferré## Market keeps raising odds of a Fed hike as 2-year treasury yield spikesInvestors are increasingly betting that the Federal Reserve will raise interest rates at its upcoming meeting. On Thursday, CME FedWatch, which measures institutional bets embedded in short-term interest rate futures, showed the odds of a hike sitting near 69%. At the same time, Polymarket showed a 63% chance that policymakers will vote to increase the fed funds rate. The 2-year Treasury yield, often used as an indicator for the market on the Fed's next rate move, rose as much as 10 basis points on Thursday to 4.53%.
• Ines Ferré## 10-year Treasury at highest level since 2023 as oil prices jump to $105Long-dated bonds stayed elevated on Thursday as oil prices jumped. The 10-year Treasury yield (^TNX) rose to 4.91%, hitting its highest level since 2023. Meanwhile, the 30-year Treasury (^TYX) yield climbed to 5.35%. Treasury prices, which move inversely to yields, were under pressure as Brent (BZ=F) crude oil jumped to $105 and wholesale inflation advanced largely in line with expectations The market has increasingly been pricing in a Fed rate hike when policymakers meet next week. Interventions from Treasury Secretary Scott Bessent, including an upsized bond buyback, have done little to bring long-dated yields lower.
• Grace O'Donnell## Stocks fall as oil prices hit highest level since MayThe major indexes opened on track for their fourth straight day of losses as oil prices and bond yields continued to pose a headwind for stocks. The Dow Jones Industrial Average (^DJI) fell 0.3%, and the S&P 500 (^GSPC) dropped 0.5%. The tech-heavy Nasdaq Composite (^IXIC) sank a deeper 0.9%. Here's a look at the sector action in the first few minutes of trading: The bond market continued to exert pressure on equities. The 10-year yield (^TNX) jumped 8 basis points to 4.91%, its highest level since 2023. Oil prices surged as well, with both Brent crude (BZ=F) and WTI crude (CL=F) above $100 per barrel and at their highest levels since May. Producer prices rose largely in line with expectations in August, while last week's initial jobless claims came in a bit above estimates.
• Ines Ferré## Weekly jobless claims come in higher than expectedWeekly initial jobless claims release came in at 206,000 on Thursday, versus 205,000 expected by economists. The reading came in lower than the prior week's claims, which were revised up to 207,000 from 206,000, according to government data. Continuing claims came in at 1.77 million versus 1.78 million expected, which represents a downtick from the downwardly revised 1.775 million in the prior week. The labor market has shown resilience in recent months, with the economy adding 162,000 jobs in August.
• Jake Conley## Wholesale prices advanced in line with expectations in August, per BLS dataWholesale inflation advanced largely in line with expectations in August, data released Wednesday by the Bureau of Labor Statistics showed. Producer prices advanced by 0.4% in August over the previous month, in line with economists' expectations. The measure comes in above July's revised price increase of 0.1%. The "core" reading — which excludes the more volatile food and energy costs — showed producer prices advanced by 0.2% over the previous month. That was slightly below the 0.3% growth economists had predicted and July's revised gain of 0.3%. On a year-over-year basis, headline prices rose by 5.4% in August, slightly above estimates of 5.3% and advancing over the previous month's revised 4.8% print. Core inflation came in at 4.6%, in line with estimates but above July's gain of 4.2%. The data today comes ahead of the monthly consumer price inflation report due Friday, set to be the more closely watched dataset as market-watchers look for clues as to the direction of the Federal Reserve.
• Grace O'Donnell## Macy's turnaround shows promise as earnings beat estimates, outlook improvesMacy's (M) turnaround efforts continued to gain momentum in the second quarter, giving the department store chain leeway to raise its cautious guidance again. In the second quarter, Macy's same-store sales rose 2.7%, marking the fifth straight quarter of growth and widely surpassing Wall Street's expectations for 0.8% comparable sales growth, according to S&P Global Market Intelligence data. Macy's luxury store, Bloomingdale's, shone yet again with 11.3% sales growth in the quarter, while beauty chain Bluemercury's sales grew 6.2%. Macy's flagship brand posted 1.1% sales growth, with newly revamped stores reporting a modestly stronger 1.9% growth. The company is in the third year of its "Bold New Chapter" transformation strategy, pegged on closing 150 underperforming stores and reinvesting in the remaining 350 locations.
• Grace O'Donnell## Gold steadies near $4,400 as traders weigh Fed pathBloomberg reports: Gold steadied, as traders awaited US inflation data due later this week for clues to whether the Federal Reserve will hike interest rates. Bullion was near $4,400 an ounce, after adding 1% in the previous session to snap a three-day losing streak. The metal has traded in a narrow range in recent weeks, with some investors betting on its long-term value as a portfolio hedge despite near-term headwinds from rising bond yields and escalating tensions in the Middle East. Yields on 10-year Treasuries rose – a negative for gold, which doesn't pay interest – after a government plan to buy up to $6 billion of longer-rated debt failed to sway the market. The muted reaction on Wednesday came after benchmark Brent crude prices hit $100 a barrel for the first time since July, highlighting concerns around inflation.
• Grace O'Donnell## Good morning. Here's what's happening today.Economic data:Initial jobless claims, week ended Sept. 5 (205,000 expected, 206,000 previously); Continuing claims, week ended Aug. 29 (1.78 million expected, 1.779 million previously); PPI final demand, month-on-month, August (+0.4% expected, +0% previously); PPI ex food and energy, month-on-month, August (+0.3% expected, +0.2% previously); PPI final demand, year-on-year, August (+5.2% expected, +4.7% previously); PPI ex food and energy, year-on-year, August (+4.6% expected, +4.2% previously); Existing home sales, month-on-month, August (-1.7% expected, -1.7% previously)Earnings calendar:Oracle (ORCL), Adobe (ADBE), Macy's (M)Catch up on some top stories from overnight:Apple debuts its first foldable, the iPhone Duo China buys 1 million tons of US soybeans ahead of Xi visit, sources say Asian shares fall and oil prices hold steady above $100 a barrel Trump urges voters to let him 'finish the job' at GOP convention
• Grace O'Donnell## Trump floats paying every American $5,000 if GOP wins midtermsAt the Republican midterm convention in Dallas on Wednesday, President Trump issued a huge midterm election promise, vowing to send every American a $5,000 check if the GOP retains control of Congress. "If the Republicans win, you win with us, and you get $5,000," Trump said, without offering details about how the payments would work. The proposal would cost over $1 trillion. It would also require approval b