U.S. stocks fell for a fourth consecutive session on Thursday as a sharp spike in oil prices reignited inflation worries and pushed Treasury yields to multi-year highs. West Texas Intermediate crude closed above $100 a barrel for the first time in months, and the jump rippled across the market, squeezing corporate margins and raising the odds that the Federal Reserve tightens policy again next week. The selling was broad but orderly, with all three major indexes ending modestly lower rather than in a full-blown rout.
What Moved Markets
The Dow Jones Industrial Average lost 316.20 points, or 0.60%, to close at 52,064.46. The S&P 500 slipped 44.62 points, or 0.58%, to finish at 7,591.74, while the Nasdaq Composite fell 171.62 points, or 0.65%, to end at 26,081.72. It marked the fourth straight down day for the major averages.
The primary driver was energy. WTI crude settled near $102 a barrel, up roughly 6.7%, after an escalation in attacks on Middle East shipping raised fears of supply disruptions. Higher oil feeds directly into inflation, and bond investors responded by pushing yields higher: the 10-year Treasury yield climbed above 4.9%, its highest level in about two years, while the 30-year approached levels not seen since 2007. A hotter reading on wholesale prices added to the pressure, with the August Producer Price Index rising 0.4%. Traders now see roughly a 70% chance the Fed raises rates at its meeting next week, up from about 62% before the data. Rising yields tend to weigh most heavily on rate-sensitive growth and technology names.
Notable Movers
Elevance Health (ELV) was a bright spot, gaining 4.1% after the health benefits company said it would reaffirm its full-year 2026 earnings and benefit-expense guidance in upcoming meetings with investors and analysts, easing concerns about medical cost trends.
Cooper Cos. (COO) tumbled nearly 14%, the day’s worst performer among large caps, after a disappointing strategic review, cut financial guidance and a revenue miss triggered a wave of analyst downgrades on the medical device maker.
Freeport-McMoRan (FCX) sank 7.3% as copper prices pulled back from record highs, undercutting the mining company’s near-term profit outlook.
Intel (INTC) dropped 5.7% as investors locked in profits following a multi-session rally, part of a broader pullback in semiconductor stocks pressured by the climb in Treasury yields and surging oil.
Looking Ahead
The path of oil prices remains the story to watch. As long as crude holds above $100, inflation expectations and bond yields are likely to stay elevated, keeping pressure on stocks. Investors will also focus on earnings from Oracle (ORCL) and Adobe (ADBE), which offer a fresh read on enterprise technology and software demand. The biggest event, however, is next week’s Federal Reserve decision. With rate-hike odds now near 70%, any surprise in tone or action could set the direction for markets heading into the fall. For retail investors, this is a moment to review portfolio exposure to rate-sensitive sectors and to remember that a string of down days does not necessarily signal the start of a larger decline.