Nasdaq Composite Falls 0.57% to 27,380.64 as Oil Tops $104 and Yields Near 5.30%

Mumbai, 8 October 2026: US stocks opened lower on Thursday as a sharp rise in crude oil prices and elevated US Treasury yields added to inflation concerns, putting pressure on the major equity benchmarks after their recent records. The Dow Jones Industrial Average fell 178.5 points, or 0.35%, to 51,001.38, while the S&P 500 declined 28.9 points, or 0.37%, to 7,772.87. The Nasdaq Composite dropped 135.05 points, or 0.49%, to 27,403.64 at the opening bell.

The opening decline followed another weaker session on Wednesday, when the three major indices moved away from their recent highs. The immediate pressure on Thursday came from a combination of oil prices above $104 a barrel, Treasury yields near multi-year highs and renewed signals from the Federal Reserve that additional interest-rate increases may still be required to bring inflation back towards its 2% target.

Nasdaq Falls 0.49% as Oil and Yields Rise

The technology-heavy Nasdaq Composite was among the weakest of the three major benchmarks at the opening, falling 0.49% to 27,403.64. The index had closed at 27,538.69 in the previous session and opened at 27,416.03. By 9:48:33 a.m. EDT, it stood at 27,380.64, down 158.05 points, or 0.57%, with the day’s range at 27,378.06-27,436.87.

The decline came as higher oil prices and borrowing costs increased pressure on technology and other rate-sensitive shares. Several large semiconductor and technology companies were trading lower in early activity. Nvidia fell 1.38%, Broadcom declined 2.23%, AMD dropped 1.60%, while Intel fell 3.05%. Lam Research declined 2.76%, Applied Materials fell 3.01%, Arm Holdings dropped 3.75% and Qualcomm declined 2.06%.

The broader technology weakness was not uniform. Palantir Technologies rose 3.33%, while Adobe gained 0.97%, Alphabet’s Class A shares increased 0.88% and Class C shares rose 0.98%. Netflix gained 1.69%, showing that the early decline was concentrated in several technology and semiconductor names rather than being shared equally across the sector.

The Nasdaq’s 52-week range remained wide, extending from 20,690.25 to 27,722.75, while its average volume stood at 8,041,913,437. At the time of the latest opening-session reading, volume was 1,420,337,000.

S&P 500 Drops 0.37% As Energy Costs Climb

The S&P 500 opened 0.37% lower at 7,772.87, after closing Wednesday at 7,801.77. The index opened at 7,778.45 and traded between 7,771.75 and 7,782.19 in the early session. By 9:49:31 a.m. EDT, it was at 7,779.81, down 21.96 points, or 0.28%.

The early weakness spread across several major sectors, with technology, financial services and healthcare stocks facing pressure. Intel declined 3.05%, Lam Research fell 2.94%, Applied Materials dropped 2.27%, while Broadcom lost 1.80%. In healthcare, Thermo Fisher Scientific fell 2.79%, Danaher declined 2.54% and Eli Lilly dropped 1.74%.

Financial shares also weakened, with Bank of America down 1.05%, Morgan Stanley lower by 1.00% and BlackRock down 1.03%. The pressure came as Treasury yields remained elevated, keeping borrowing costs in focus across the market.

Energy stocks moved in the opposite direction as crude prices surged. Exxon Mobil gained 2.55%, Chevron rose 2.57%, ConocoPhillips advanced 2.46%, Marathon Petroleum increased 2.76%, Valero Energy climbed 2.38% and Phillips 66 gained 2.38%. The movement followed a sharp rise in crude prices amid concerns about Middle East supply disruptions.

Consumer defensive companies also recorded gains. Walmart rose 1.24%, Coca-Cola increased 1.02%, PepsiCo gained 1.32%, while Philip Morris advanced 2.41%. The mixed sector performance left the broader S&P 500 lower despite gains in energy and selected defensive companies.

Dow Slips 0.35% as Rate Pressure Spreads

The Dow Jones Industrial Average opened at 51,001.38, down 178.5 points, or 0.35%, from the previous close of 51,179.87. The index opened at 51,105.04 and traded between 50,974.59 and 51,116.59 during the early session.

By 9:49:07 a.m. EDT, the Dow stood at 51,130.36, down 49.51 points, or 0.10%. Its 52-week range remained between 45,057.28 and 54,744.33, while reported volume was 37,053,966, against average volume of 456,424,687.

The early movement reflected pressure across several industrial, technology, financial and healthcare components. Nvidia fell 1.27%, Cisco declined 1.03%, JPMorgan Chase dropped 0.59%, while American Express declined 0.56%. Johnson & Johnson fell 0.69%, Merck declined 0.81% and Amgen dropped 1.30%.

Energy stocks provided a counterweight. Chevron gained 2.32%, while Walmart rose 1.25% and Coca-Cola advanced 0.97%. Visa increased 0.45%, Travelers rose 0.38% and IBM gained 0.08%.

The Dow’s opening decline therefore reflected a mixed market rather than a broad-based fall across every constituent. Higher energy prices supported oil-related shares, while elevated yields and concerns about inflation kept pressure on several other parts of the index.

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Russell 2000 Falls 0.54% as Smaller Stocks Weaken

Smaller US companies also started the session under pressure. The Russell 2000 fell 15.11 points, or 0.54%, to 2,778.10 at 9:35 a.m. EDT, compared with its previous close of 2,793.20. The index opened at 2,784.30 and traded between 2,777.54 and 2,784.30.

The move extended the weakness seen in the previous session, when the Russell 2000 fell 1.31% to 2,793.20. The index’s 52-week range stood at 2,303.46-3,069.71.

The early decline was visible across technology, healthcare, financial and other smaller-company shares. Riot Platforms fell 5.42%, CleanSpark declined 4.85%, while Applied Optoelectronics dropped 3.60%. AXT declined 5.35%, 10x Genomics fell 5.68% and Twist Bioscience dropped 6.28%.

At the same time, several energy companies recorded gains. SM Energy rose 3.74%, CMB.TECH increased 3.16%, International Seaways gained 3.07% and Peabody Energy advanced 3.80%. The contrast reflected the sharp rise in oil prices and the different effects of higher energy costs across market segments.

Oil Tops $105 as Middle East Risks Hit Supply

Crude oil became one of the main catalysts for Thursday’s market weakness. Brent crude futures jumped 4.8% to more than $105 a barrel, while West Texas Intermediate rose around 4% to approximately $92 a barrel in early trading. Another market reading put WTI at $92.52, up 4.80%, and Brent at $105.10, up 4.89%.

The increase followed reports of fresh tanker attacks in the Persian Gulf and lower transit through the Strait of Hormuz. Reports that the US administration was considering potential military action against Iran added to concerns about supply disruptions. Production in the Gulf of Mexico was also being reduced as a storm threatened offshore operations.

The combination of geopolitical risks and production disruptions pushed energy prices higher. The market was therefore dealing with a direct increase in the cost of a key input at the same time as the Federal Reserve was focused on persistent inflation.

The rise in crude prices was reflected in early gains across energy shares. BP rose 3.80%, Shell gained 3.30%, TotalEnergies advanced 3.79%, Equinor rose 3.38%, Eni increased 3.39%, while Marathon Petroleum gained 3.35%. Several tanker companies also moved higher, including Frontline, up 4.67%, and DHT Holdings, up 4.05%.

Treasury Yields Near 5.3% Add Pressure

US government bond yields remained another major source of pressure for equities. The benchmark 10-year Treasury yield rose to around 5.29%-5.32%, while the 30-year Treasury yield was around 5.67%-5.71%. The two-year Treasury yield stood near 4.79%.

The 10-year yield had reached its highest level since 2002 during the previous session before retreating later. On Thursday, it moved higher again, rising more than one basis point in one reading to 5.288%, while another market update placed it at 5.322%. The 30-year yield rose above 5.70%, while the two-year yield was close to 4.798%.

Higher yields increase borrowing costs across the economy and were particularly relevant to Thursday’s weakness in technology and financial shares. The bond-market move came as investors assessed the Federal Reserve’s recent decision-making and fresh comments from Federal Reserve Governor Christopher Waller.

Waller said additional rate increases could be required if economic data continued to develop as expected. He also indicated that the increases did not necessarily need to occur at consecutive meetings, leaving flexibility around the timing.

The comments came after minutes from the Federal Reserve’s September meeting showed that policymakers had unanimously supported a rate increase because of persistent inflation. The minutes indicated that most officials continued to anticipate another increase before the end of the year.

Fed Signals More Hikes as Inflation Remains High

The Federal Reserve’s inflation concerns remained central to the market’s opening moves. Officials raised the benchmark interest rate at the September meeting, citing continued price pressures. Although some recent economic data indicated easing pressure in parts of the economy, inflation remained a key consideration for monetary policy.

Waller said that, if economic data continued to develop as expected, he anticipated additional increases to support a return of inflation towards the Federal Reserve’s 2% target. At the same time, he indicated that there was flexibility over when those increases would take place.

Market pricing showed that traders largely expected the Federal Reserve to leave rates unchanged at its October meeting. The probability of a hike at that meeting was around 21.6%-22%, while the probability of at least a quarter-point increase at the December meeting was around 86% in one market reading.

The latest inflation concerns were also reflected in household expectations. The Federal Reserve Bank of New York’s September Survey of Consumer Expectations showed that the median US adult expected consumer prices to rise 3.9% over the next 12 months, an increase of 0.3 percentage points from August and the highest year-ahead expectation since 2023.

The combination of higher oil prices and elevated inflation expectations therefore arrived at a sensitive point for monetary policy, with the Federal Reserve still focused on returning inflation to its target.

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Jobless Claims Fall to 197,000 Despite Rate Concerns

The labour market provided a different signal on Thursday. Initial US jobless claims fell by 2,000 to 197,000 for the week ended 3 October, compared with 199,000 in the previous week and below the consensus estimate of 200,000.

The four-week moving average fell by 2,500 to 198,000, while continuing claims increased by 17,000 to 1.716 million for the week ended 26 September. The data indicated that layoffs remained relatively low even as the broader market focused on inflation and monetary policy.

The latest claims figures followed a period in which companies, in aggregate, had not been cutting jobs at the same pace seen in the previous year. However, some large companies had announced reductions or potential cost-cutting measures.

Amazon confirmed that it had eliminated fewer than 1,000 roles, primarily in its retail business, while PepsiCo indicated that it could target layoffs as part of wider efforts to control costs.

PepsiCo Reports 5.6% Revenue Growth But Cuts Profit Outlook

PepsiCo, headquartered in Purchase, New York, operates in the food and beverage industry and sells snacks, beverages and related consumer products globally. Its portfolio includes Pepsi, Lay’s, Doritos, Gatorade and other brands. The company trades under the ticker PEP. Its third-quarter results showed higher revenue and adjusted earnings than expected, while the revised profit outlook reflected continuing pressure on margins in North America.

For the third quarter, PepsiCo reported net income of $3.05 billion, or $2.23 per share, compared with $2.6 billion, or $1.90 per share, a year earlier. Revenue rose 5.6% year on year to $25.27 billion. Adjusted earnings reached $2.34 per share, compared with the $2.29 market expectation. The company raised its revenue growth outlook to around 6%, but lowered its core earnings growth forecast because of continued margin pressures in North America.

PepsiCo shares were up around 1.9%-2% in early trading after the results. By 9:52:28 a.m. EDT, the stock was at $126.06, up $2.33, or 1.88%.

Haemonetics Jumps 15.90% On Supply Agreement Expansion

Among the strongest early stock movers, Haemonetics surged 15.90% to $117.88, adding $16.17. The company had a market capitalisation of approximately $5.384 billion, while its 52-week gain stood at 102.81%.

The move followed a regulatory filing confirming an expansion of the company’s supply agreement with CSL Limited. A separate update said CSL expected to complete the rollout of Haemonetics’ plasmapheresis platform across the United States by the end of 2027.

Veradermics rose 13.39% to $125.81, while Okeanis Eco Tankers gained 6.35% to $93.64. Frontline increased 4.67% to $55.53, and Sasol rose 4.64% to $14.87.

Energy-related shares featured prominently among the early gainers. SM Energy rose 4.14%, Alpha Metallurgical Resources gained 4.09%, DHT Holdings increased 4.05%, and Vista Energy advanced 3.93%. Dorian LPG rose 3.91%, while Peabody Energy increased 3.80%.

The list also included major international energy companies. BP rose 3.80%, TotalEnergies gained 3.79%, Hafnia increased 3.78%, Scorpio Tankers advanced 3.77%, Equinor gained 3.38%, APA rose 3.47% and Eni increased 3.39%.

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Argenx Falls 11.64% as Healthcare Shares Slide

The strongest early decliners included several healthcare and technology companies. Argenx fell 11.64% to $820.35, losing $108.09. Bending Spoons declined 11.09% to $36.52, while IREN fell 4.57% to $36.92.

Other notable declines included 10x Genomics, down 4.56%, Riot Platforms, down 5.83%, and Universal Display, down 5.89%. Pershing Square fell 5.42%, while Zai Lab declined 4.70% and Summit Therapeutics fell 5.12%.

The technology and semiconductor complex also recorded significant early declines. Skyworks Solutions fell 5.37%, Nova declined 4.96%, and Applied Optoelectronics fell 3.70%. AXT declined 4.69%, while Applied Digital fell 1.85% in another early market reading.

Among other notable moves, CleanSpark declined 4.85%, MARA Holdings fell 3.91%, Galaxy Digital dropped 3.44% and Tempus AI declined 2.57%.

Wolfspeed Gains 15.35% On $1.5 Billion Defence Funding

Wolfspeed was another prominent early mover, with its shares rising more than 15% after the semiconductor manufacturer received a conditional financing commitment of up to $1.5 billion from the US Department of Defense.

The proposed financing carries a 30-year commitment and is intended to support domestic silicon carbide production and technology development for national security applications. Under the proposed terms, the Pentagon would receive warrants representing up to 7.5% of the company.

Other individual technology stocks faced pressure. Broadcom fell nearly 2% in premarket trading amid reports that it was arranging more than $50 billion in financing linked to custom artificial-intelligence chips being developed with OpenAI. The developments added to concerns about the scale of debt required to finance technology infrastructure.

TSMC Revenue Jumps 51% But Shares Still Open Lower

Taiwan Semiconductor Manufacturing Company reported a 51% increase in quarterly revenue, providing another data point on demand for artificial-intelligence infrastructure. Despite the strong revenue growth, its shares were down 1.31% in early trading.

The company remains a major supplier to Nvidia and Apple and is closely watched as an indicator of demand for advanced chips. The strong sales growth came as technology companies continued to commit substantial resources to artificial-intelligence infrastructure.

Other semiconductor developments also remained in focus. Advanced Micro Devices chief executive Lisa Su said chip demand was expected to remain sharply higher over the next few years, while Samsung Electronics reported an almost nine-fold increase in operating profit. Hon Hai Precision Industry also exceeded quarterly sales estimates.

At the same time, semiconductor shares in the US were under pressure. The broader semiconductor exchange-traded fund was down almost 2%, while Micron Technology fell about 1% in early trading.

AI Shares Face Pressure as Debt and Rates Rise

Artificial-intelligence-linked stocks opened lower as higher financing costs became a larger market consideration. The semiconductor sector declined alongside several major technology names, with Nvidia down 1.27%-1.38%, Broadcom lower by around 2%, AMD down 1.60%-1.73%, and Intel down 3.05%.

Marvell Technology declined about 1.60%-2.23% across early market readings despite outlining a multi-year growth outlook and announcing an expansion of its total addressable market. Applied Materials, Lam Research and Arm Holdings also fell.

The pressure came as technology companies continued to require substantial capital for artificial-intelligence infrastructure at a time when Treasury yields were near multi-decade highs. Reports concerning large financing requirements for technology projects added another element to the market’s focus on borrowing costs.

Palantir moved against the broader technology trend, gaining around 3%-4% after receiving an upgrade and a higher price target. The company was described as benefiting from increasing demand for sovereign artificial intelligence, customised applications and government contracts.

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Gold Rises 0.17% While Silver Falls 2.21%

Other markets also reflected the shift in risk conditions. Gold futures edged up 0.17% to $4,147.60 an ounce in one early reading, while another market update placed spot gold at approximately $4,125.01, up 0.34%.

Silver futures moved in the opposite direction, falling 2.21% to $58.96 an ounce.

The US dollar index rose around 0.1% to 102.31, while another reading placed it at 102.27, up 0.03%. Bitcoin traded near $82,500-$83,059, down approximately 1.1%-1.15% over the preceding 24 hours.

The moves occurred as Treasury yields remained elevated and crude prices climbed sharply. Higher US yields continued to affect currency and digital-asset markets alongside equities.

The opening session showed US equities under pressure as Brent crude moved above $105, the 10-year Treasury yield remained near 5.3%, and Federal Reserve officials indicated that further rate increases could be required if inflation remained elevated. The latest 197,000 jobless claims and third-quarter earnings updates added fresh economic and corporate data to the market’s focus.