Nasdaq Hits Record High as Oil Prices Drop 3.4 Percent
Global equities rallied on Monday after Brent crude fell to $100.34 and the 10-year Treasury yield eased below 5 percent.
Key points
- The Nasdaq composite rose 2.3% to an all-time high while the S&P 500 gained 1.5% on Monday.
- Brent crude oil prices fell 3.4% to $100.34, easing inflation concerns for equity investors.
- The 10-year Treasury yield dropped to 4.95%, down from 5.01% the previous session.
The Nasdaq composite surged 2.3 percent to reach a new all-time high on Monday. This gain followed a broad rally in global equity markets driven by softer energy costs.
The S&P 500 jumped 1.5 percent, closing just 0.4 percent below its previous record. The Dow Jones Industrial Average added 366 points, reflecting a wider market recovery.
Oil prices retreat from weekly peaks
Brent crude prices dropped 3.4 percent to settle at $100.34 per barrel. This decline reversed some of the sharp gains seen earlier in the week.
According to ksn.com, these lower energy costs reduced inflationary pressure on the broader economy. Investors also noted that average U.S. gasoline prices remain high at nearly $4.48 per gallon.
Bond yields ease above five percent
The yield on the 10-year U.S. Treasury bond fell to 4.95 percent. This marked a drop from the 5.01 percent level recorded late Friday.
Lower yields reduce borrowing costs for households and businesses, which supports corporate earnings. This shift helped stabilize investor confidence in fixed-income markets.
AI and crypto stocks lead gains
Advanced Micro Devices shares rallied 9.9 percent, pushing its market value to $1 trillion. Nvidia also climbed 2.3 percent as demand for computing power remains strong.
Cryptocurrency-linked stocks followed the rise in Bitcoin, which traded above $86,000. Coinbase Global rose 3.5 percent while Robinhood Markets gained 2.9 percent.
