Live Markets: US stocks erase Wednesday rally as upward bond yield pressure resumes

Walmart

20/08/2026 15:01

US equity indexes red; Dow off ~0.6%
Staples weakest S&P 500 sector; Energy up most
Euro STOXX 600 index off ~0.1%
Dollar edges up; US crude up >2%; Bitcoin up >3.5%; gold down
US 10-year Treasury yield rises to ~4.70%
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U.S. STOCKS ERASE WEDNESDAY RALLY AS UPWARD BOND YIELD PRESSURE RESUMES
Wall Street walked back Wednesday's gains in early Thursday trading, as bond yields resumed their climb, Walmart reported a rare sales miss and the U.S. debt burden crossed the $40 trillion mark.
All three major U.S. stock indexes are lower in the opening minutes, with the Dow .DJI, off 0.6%, suffering the worst of it.
While the U.S. Treasury Department's surprise bond buyback plans had a cooling effect on the worldwide rise in long-term borrowing costs, worries about inflation and ballooning government debt persist, even as the United States' debt topped $40 trillion for the first time.
Walmart WMT.N missed same-store sales growth estimates for the first time in years as shoppers pulled back on spending in the face of rising gasoline prices. The retail giant's shares slid 8.8%. Given this drag, consumer staples .SPLRCS is the weakest S&P 500 .SPX sector on the day.
The S&P retail index .SPXRT is dipping 1.3%.
Energy stocks .SPNY were clearly the early favorites, boosted to the top with an assist from rising crude prices CLc1, which hit a three-week high due to supply concerns arising from the U.S.-Iran war stalemate.
Besides staples, consumer discretionary .SPLRCD, and homebuilder stocks .SPCOMHOME are among weaker groups on the day, weighed down by rising interest rates and inflation fears.
On the economic front, jobless claims landed below expectations, while the Philly Fed Business Index expanded at its fastest pace since April 2021.
Here's where things stood as of 9:43 a.m. ET:
(Stephen Culp)
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EARLIER ON LIVE MARKETS:
GOLD SHINES, MINERS SOAR, NOW COMES THE TEST CLICK HERE
THE CASE FOR EQUITIES REMAINS CLICK HERE
WHEN AI CRASHES, THE FRANC STANDS TO GAIN CLICK HERE
STOXX HEADS FOR SEVENTH STRAIGHT DAILY FALL CLICK HERE
EUROPE BEFORE THE BELL: STEADY AS CAN BE CLICK HERE
HOW LONG CAN THIS BESSENT PUT LAST? CLICK HERE
     

Opening snapshot https://www.reuters.com/graphics/USA-STOCKS/klvyoyoyrvg/opener.png
(Terence Gabriel is a Reuters market analyst. The views expressed are his own)