Stocks Rise as Buyers Scoop Up Bargains After Rout: Markets Wrap
(Bloomberg) — Stocks rose after a drop fueled by concerns about inflation, with attractive valuations and solid corporate earnings luring bargain hunters.
Nearly 350 shares in the S&P 500 gained. Dell Technologies Inc. soared 14% on a solid outlook. Broadcom Inc. will report results late Wednesday. A slowdown in the oil rally helped market sentiment, though US crude settled around $91. Treasury yields barely budged after a surge to multi-year highs. The yen climbed, leaving traders on alert for further intervention.
The respite in Wall Street volatility came after a recent flare-up in Middle East fighting that had raised concerns about more disruptions to energy flows, stoking fears about price pressures that could make the Federal Reserve raise rates.
Positioning and sentiment have been largely reset, valuations are reasonable while earnings trends remain robust. That means the overall trend is positive, according to Mark Hackett at Nationwide.
“Stocks are finding some footing after a difficult start to September,” said Angelo Kourkafas at Edward Jones. “Underlying fundamentals remain constructive. While seasonal headwinds merit attention, they are not sufficient on their own to derail the broader market uptrend.”
US economic activity increased modestly in the past two months with demand from data centers, in particular, driving growth, according to the Fed’s Beige Book survey of regional business contacts.
In the run-up to Friday’s payrolls report, data showed US companies added jobs at a more moderate pace in August, underscoring a stable labor market.
Job creation has been uneven this year, but the unemployment rate is historically low, according to separate government data. That has reassured some policymakers the labor market is in balance, allowing them to focus more on inflation. Fed Chair Kevin Warsh last week said the labor market overall is consistent with full employment.
Fed Bank of New York President John Williams told CNBC there’s evidence inflation continues to ease as the impact of tariffs fades while higher energy prices are not spreading to other services.
“His comments by no means rule out a September hike, but they challenge the market view that a September rate hike is clearly odds-on,” said Krishna Guha at Evercore.
Corporate Highlights:
Nvidia Corp. Chief Executive Officer Jensen Huang called on Group of 20 nations to accelerate their adoption of artificial intelligence as a way to enhance growth, urging the world’s largest economies to expand data centers and other infrastructure to support the emerging technology. Alphabet Inc.’s Google doesn’t have to sell off its advertising exchange and instead must make its ad tech tools work with those operated by rivals, a federal judge ruled Wednesday, in a move that saves the tech giant from a second bid to force a breakup. Palo Alto Networks Inc. said its shift to more software subscription products had increased cloud computing costs, pressuring gross margins. GE Vernova Inc. has committed to repairing large portions of Venezuela’s power grid as part of a series of deals being touted by the Trump administration to boost the country’s energy output. Uber Technologies Inc. is cutting about 3,300 roles, or 10% of its staff globally, in a massive restructuring aimed at reducing management layers and reallocating spending into its ride-sharing, delivery and robotaxi businesses. PG&E Corp. plans to defer about $2 billion of investments next year as part of a strategic review of its businesses, a move that comes after it said a proposed revamp of California’s wildfire response didn’t do enough to protect the company and its peers from the cost of such disasters. Some of the main moves in markets:
Stocks
The S&P 500 rose 0.5% as of 3 p.m. New York time The Nasdaq 100 rose 0.1% The Dow Jones Industrial Average rose 0.5% The MSCI World Index rose 0.2% Currencies
The Bloomberg Dollar Spot Index fell 0.2% The euro was little changed at $1.1585 The British pound fell 0.2% to $1.3486 The Japanese yen rose 0.8% to 158.92 per dollar Cryptocurrencies
Bitcoin was little changed at $77,343.2 Ether fell 1.1% to $2,394.06 Bonds
The yield on 10-year Treasuries was little changed at 4.80% Germany’s 10-year yield advanced three basis points to 3.38% Britain’s 10-year yield advanced one basis point to 5.23% Commodities
West Texas Intermediate crude rose 0.7% to $90.85 a barrel Spot gold rose 1.1% to $4,374.56 an ounce ©2026 Bloomberg L.P.
