All three major US equity indices opened in the green on Monday as a pullback in Treasury yields and falling oil prices gave investors a reason to lighten up on the anxiety. Dow futures climbed roughly 0.4% ahead of the opening bell.
The 10-year Treasury yield slipped to around 4.70%, down from 4.74% in the prior session. Lower yields make equities more attractive by comparison, and Monday’s price action reflected that calculus almost immediately.
What happened in the prior session
Friday’s close was a tale of two markets. The Dow Jones Industrial Average managed to grind out a 140.15-point gain, finishing at 53,417.16, good for a 0.26% advance. The S&P 500 was less fortunate, shedding 21.51 points to settle at 7,652.86, a 0.28% decline.
The Nasdaq Composite took the hardest hit, falling 200.26 points (0.76%) to close at 25,980.19. Growth and tech stocks, which are particularly sensitive to rising borrowing costs, bore the brunt of the selling pressure as yields had been climbing in recent sessions.
