Stock Market Update

[BRIEFING.COM] Stocks are under broad pressure this morning, with the major averages backing off from yesterday's record levels. The Nasdaq Composite (-1.2%) holds the widest loss as tech and mega-cap names face outsized losses, while the S&P 500 (-0.9%) and DJIA (-0.9%) are also firmly lower.

The selling follows another jump in oil prices alongside continued weakness in Treasuries, pushing yields to fresh highs for the year and fueling concerns that inflation pressures could remain elevated if crude stays above $100 per barrel. The move has investors further dialing back hopes for near-term rate cuts, while some are now beginning to entertain the possibility of a Fed hike early next year.

Crude oil is currently up $3.56 (+3.5%) to $104.73 per barrel. Newsweek reports that China is calling on the U.S. and Iran to negotiate a ceasefire and reopen the Strait of Hormuz, but the recently concluded summit between President Trump and Chinese President Xi failed to produce any meaningful policy changes.

The energy sector (+1.3%) is the only S&P 500 sector that trades higher.

Meanwhile, the PHLX Semiconductor Index (-3.2%), Vanguard Mega Cap Growth ETF (-0.9%), and Russell 2000 (-2.3%) are all lower, reflecting the weakness across growth stocks.