{
  "id": 9584327,
  "title": "Dow Jones Industrial Average tests fresh lows as long bond yields climb",
  "url": "https://urgent.news/2026/09/24/dow-jones-industrial-average-tests-fresh-lows-as-long-bond-yields",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-24T16:38:17.000Z",
  "source": {
    "name": "FXStreet",
    "slug": "fxstreet",
    "url": "https://www.fxstreet.com/news/dow-jones-industrial-average-tests-fresh-lows-as-long-bond-yields-climb-202609241638"
  },
  "original_language": "en",
  "account": "The 30-year Treasury yield reached its highest level since 2004 on Thursday, while the two-year yield remained relatively stable. The Dow Jones Industrial Average (DJIA) dropped to its lowest point since June, currently trading at 51,100. This decline marked the third consecutive losing session for the index. The two-year yield is closely monitored by traders as it reflects expectations of what the Federal Reserve (Fed) will do in the coming years, while the 30-year yield represents the price investors demand for lending money to the U.S. government for three decades. Recently, two Federal Reserve officials discussed the Fed's benchmark interest rate, while the market adjusted its expectations accordingly. New York Federal Reserve President Michelle Bowman stated at a London conference that the era of explicit forward guidance has ended, a view shared by Federal Reserve Chair Jerome Powell. She suggested that another rate hike before the year's end is plausible. Philadelphia Federal Reserve President Patrick Paulson, a voting member this year who previously favored rate holding, indicated that additional tightening might be necessary following the September 16 rate hike to 3.75-4.00%. She attributed recent inflation pressures to the Middle East conflict and the rapid growth of artificial intelligence, while easing tariff pressures contributed to the situation. The two-year yield is nearing its 2023 peak and did not react to either speech, leading to the current downward trend for the Dow. Futures markets price a 50% chance of a Federal Reserve rate hike in October, with 16 out of 18 policymakers anticipating at least one more increase this year. Fed Chair Paulson praised underlying inflation, stating that it hasn't worsened this year, which is positive for the Fed's decision to deliver another rate hike. The high price of oil due to the Iran conflict has kept energy costs elevated, while global growth remains robust, and governments continue to borrow. Brent crude traded near $105 a barrel on Thursday. Japan's 10-year yield hit its highest level since 1996 as Tokyo reopened following a three-day holiday, and Germany's finance ministry expects federal borrowing to reach a record €525.5 billion in 2026. Bank of America analysts estimate U.S. federal interest costs will reach a record 3.3% of Gross Domestic Product (GDP) during the second quarter, up from 1.7% the last time the 10-year yield approached 5% in 2007. The Fed can adjust the overnight rate at any meeting, but the 30-year yield is predetermined by long-term bond holders who must retain the bond until 2056. The 30-year mortgage rate is currently near 7%, a full percentage point higher than before the war. The Dow's first members to feel the impact are Home Depot (HD) and Sherwin-Williams (SHW), which benefit from a housing market where fewer people are moving. JPMorgan Chase (JPM) is the financial institution that could potentially profit, as banks earn more when there is a wider gap between short-term and long-term yields. Key resistance levels include 51,500, Wednesday's closing price, and 52,000, a level breached on Thursday but not regained since. Support levels are near 51,100, the lowest since June, and 51,000, the next round number below that. The overall market sentiment leans short below 52,000, with the 200-day Exponential Moving Average (EMA) currently at 50,250. The Stochastic Relative Strength Index (Stoch RSI) is nearing 19, its lowest reading under 20 since late July, indicating potential for a bounce toward 51,500. A daily close above 52,000 would signal the end of the short-term bearish outlook for the Dow.",
  "summary": "The 30-year Treasury yield rose to its highest since 2004 on Thursday while the two-year yield barely moved, and the Dow Jones Industrial Average is falling with the long one. The index dropped as far as 51,100, its lowest since June, and is on track for a third losing session in a row.",
  "key_points": [
    "Dow Jones Industrial Average hits fresh low at 51,100",
    "30-year Treasury yield hits highest since 2004",
    "Fed officials discuss potential rate hikes before year's end"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}