Stock market today: Dow, S&P 500, Nasdaq futures mixed after Treasury's bond intervention buoys markets

On Thursday, US stocks experienced a mixed performance, with the Dow Jones Industrial Average falling by 1.3%, or nearly 700 points, and the S&P 500 slipping by 0.8%. The tech-heavy Nasdaq Composite declined by 1% after three major indexes had previously posted winning sessions on Wednesday. Walmart's stock, in particular, fell by over 9% after the retail giant reported strong earnings but noted slowing US sales growth due to customers cutting back on purchases in response to high gas prices.

The mixed performance in the stock market was influenced by the US Treasury's intervention in bond yields, which initially proved short-lived. Treasury Secretary Scott Bessent's action to lower long-dated government bond yields aimed to address concerns that the yields did not reflect the underlying fundamentals. However, Treasury yields rose again, with the 10-year yield climbing by 4 basis points to 4.69% and the 30-year yield increasing by 4 basis points to 5.24%.

The surge in stock prices was not the only noteworthy development; Bitcoin (BTC-USD) surged above the $70,000 level for the first time since early June. Meanwhile, the national debt surpassed the $40 trillion mark, having more than doubled in less than a decade. Treasury Secretary Bessent downplayed the milestone, stating that the US could "grow our way out of that." However, others warned about the potential onset of a "debt spiral."

Oil prices also experienced an upward trend, propelled by President Trump's increasing frustration over the lack of a deal to reopen the Strait of Hormuz and end the Iran war. He announced on Truth Social that the US would implement an "ECONOMIC D-DAY" against Iran, involving "Economic Warfare and Isolation on an unprecedented scale." Brent crude (BZ=F) reached a level of $93 per barrel, while WTI crude (CL=F) rose to $86 per barrel.