The S&P 500 rose on Friday as investors attempted to stabilize after a sharp sell-off fueled by rising Treasury yields.
The broad-market index gained 0.43% to close at 7,674.37, while the Nasdaq Composite also advanced 0.43% to finish at 26,180.45. The Dow Jones Industrial Average outperformed, climbing 517.80 points, or 0.98%, to close at 53,277.01, supported by strong gains in healthcare stocks including Merck and Johnson & Johnson.
Financial stocks also helped lift the broader market, with crypto-related companies posting notable gains as bitcoin recorded a strong weekly advance of 22%. Robinhood surged nearly 14%, while Coinbase gained 8%. The materials sector was another standout, rising 2% during the session.
Friday’s rebound followed a weak session on Wall Street, where stocks came under pressure as Treasury yields resumed their climb. Despite government efforts to ease stress in the Treasury market, longer-dated bonds remained under selling pressure amid growing concerns that elevated oil prices could fuel inflation.
For the week, however, the picture remained negative. The S&P 500 fell 1.4%, while the Nasdaq declined 2%, ending three consecutive weeks of gains for both indexes. The Dow lost 0.9%, marking its second straight weekly decline.
The weakness was not limited to U.S. markets, with the MSCI All Country World Index also falling nearly 1% for the week.
Meanwhile, longer-term Treasury yields continued moving higher on Friday. The 10-year Treasury yield rose more than 3 basis points to 4.734%, while the 30-year Treasury yield also gained more than 3 basis points, reaching 5.273%.
With bond yields remaining a major concern for markets, investors will now turn their attention to next week’s speech by Federal Reserve Chairman Kevin Warsh at the Jackson Hole Economic Policy Symposium, where markets will look for further clues on interest rates, the bond market and central bank independence.
