NEW YORK, September 1, 2026, 16:00 EDT — The Nasdaq finished 1% lower after oil prices jumped, fueling concerns about increased strain on interest rates.
- The Nasdaq Composite ended the session at 26,099.77, slipping 1.03%.
- The index rose 0.08% in the last hour, yet remained 1.33% under Monday’s closing level at the start of trading.
- Brent crude finished at $94.65, rising 4.6%. The yield on the 10-year Treasury reached 4.798%.
The Nasdaq Composite slipped 1.03% on Tuesday, closing at 26,099.77, as growth stocks were weighed down by higher oil prices and bond yields.
A late rally helped limit losses, with the Nasdaq rising 0.08% from 15:00 EDT. However, overall market breadth stayed subdued, and the uneven performance outweighed the modest uptick.
Oil prices rose as new U.S. strikes targeted Iran. Brent crude finished at $94.65, advancing 4.6%, according to the Associated Press. The Strait of Hormuz typically sees about 20% of world oil shipments.
The impact was intensified through the bond market. The yield on the 10-year Treasury climbed to 4.798%, marking its strongest level since January 2025, before pulling back to 4.77%, Reuters market data showed.
Nasdaq recovered at midday, then faded
Composite index level from the opening bell through .
Source: Nasdaq Composite minute chart. Levels shown at 09:30, each full hour and 16:00 EDT.
The S&P 500 finished at 7,631.53, declining 0.71%. The Dow Jones Industrial Average slipped 0.79% to end at 52,766.93.
The final hour repaired little
Session return versus 15:00–16:00 EDT return. Index closes are preliminary at 16:00 EDT.
S&P 500
Nasdaq Composite
Dow industrials
Sources: Google Finance S&P 500, Nasdaq and Google Finance Dow. Last-hour changes use 15:00 and 16:00 EDT levels.
Poor market internals weighed on the late-day rebound. At 14:36 EDT, NYSE declining stocks outpaced advancers by a ratio of 2.7 to one. On the Nasdaq, decliners topped gainers by 3,403 to 1,280, Reuters reported.
Sellers still controlled market breadth
Advancing versus declining issues reported at 14:36 EDT.
NYSE
Nasdaq
Source: Reuters market breadth. Green denotes advancers; red denotes decliners.
Sector movements reflected similar strain. The Energy Select Sector SPDR Fund NYSEARCA:XLE rose 1.30%. The Technology Select Sector SPDR Fund (NYSEARCA:XLK) declined 1.51%.
Oil split energy from cyclicals
Select Sector SPDR ETF returns at the 16:00 EDT close.
Source: Nasdaq closing quotes for XLE, XLK and peer Select Sector SPDR ETFs.
Technology shares sensitive to interest rates remained under pressure. Microsoft Corporation NASDAQ:MSFT dropped 1.24%. Advanced Micro Devices, Inc. NASDAQ:AMD declined 2.36%, while Apple Inc. NASDAQ:AAPL rose 2.61%.
Macro data provided limited respite. The ISM manufacturing index slipped to 54.6 in August. The index’s prices component remained steady at 71.1, with new orders dropping by three points to 53.7.
U.S. job openings in July stayed close to 7.3 million, the Labor Department reported. The lack of change failed to counteract inflation concerns driven by oil prices.
Jake Dollarhide, chief executive of Longbow Asset Management, told Reuters that “The global bond selloff is putting worldwide central banks on notice.”
The next assessment is scheduled for Friday, when the August jobs data will be released at 08:30 EDT, ahead of the Federal Reserve’s September meeting. Futures pointed to roughly a 66% probability of a rate increase, CME FedWatch data showed.
Risks: Oil prices may swiftly shift in response to diplomatic developments. Preliminary index levels are subject to minor revisions following final exchange reconciliation.
Related articles: Interest Rates
