However, the Friday rally couldn’t prevent stocks from posting a weekly loss after several bruising days for the U.S. market. The S&P 500 snapped a three-week winning streak as it declined a little more than 1%. The Nasdaq finished the week 2% lower and ended a three-week win streak, while the Dow fell nearly 1% on the week and posted back-to-back weekly losses.
Rising Treasury Yields
Rising Treasury yields and crude oil prices pressured stocks earlier in the week. The Friday market rally occurred despite both government bond yields and crude oil prices continuing to march higher. Yields keep ticking upwards even after Treasury Secretary Scott Bessent said he would double repurchases of U.S. government bonds in coming months to $4 billion or more.
In terms of bright spots in the market, cryptocurrencies rallied hard in recent days, with Bitcoin (BTC) and other digital assets moving sharply higher. After stagnating for months, Bitcoin’s price has risen more than 20% in the last two days and was near $77,000 heading into the weekend. Crypto got a shot in the arm after U.S. President Donald Trump called on Congress to pass the Clarity Act legislation that will provide a regulatory roadmap for digital assets.
