S&P 500 Hits Intraday Record Above 7,830 as Treasury Yields Ease From 24-Year High

The S&P 500 climbed to a new intraday record on Tuesday, rising about 0.7% in early trading to move above 7,830, according to The Wall Street Journal. If the gain holds through the close, the index would also surpass the all-time closing high it set in mid-August.

The Dow Jones Industrial Average and the Nasdaq Composite also rose, with the Nasdaq on track for a second consecutive record high after closing at a record on Monday. The Journal attributed the recent advance in part to renewed enthusiasm for artificial intelligence stocks, following a late-summer stretch in which surging government bond yields had unsettled equity markets.

Yields ease after hitting a 24-year high

Treasury yields pulled back on Tuesday morning after a prolonged sell-off in U.S. government bonds. The 10-year Treasury yield traded around 5.26%, down from Monday’s close of 5.31%, according to Investopedia. On Monday, the yield had reached its highest level since April 2002.

Investopedia reported that Friday’s weaker-than-expected jobs report has raised hopes that the Federal Reserve, which raised its benchmark rate last month, may not need to raise rates again immediately. Oil prices also fell, with Brent crude futures down more than 2% to below $98 a barrel, according to the Journal, as traders weighed increased shipments through the Strait of Hormuz against Iranian attempts to restrict tanker traffic.

Nvidia nears a $6 trillion valuation

Nvidia remained in focus after closing at a record high on Monday. Investopedia reported that the chipmaker’s market capitalization stood at about $5.77 trillion at Monday’s close, keeping it ahead of Apple as the world’s most valuable company, and that its shares were up about 1% in premarket trading. A move above $6 trillion would make Nvidia the first company to reach that valuation.

Reporting based on coverage by The Wall Street Journal and Investopedia.