U.S. stocks continued their upward momentum on Wednesday, as falling U.S. bond yields fueled a rally that has now become the longest win streak in two years.
- The Dow Jones Industrial Average (DJIA) shed about 39 points, or 0.1%, closing near 34,112 according to preliminary FactSet data.
- The S&P 500 index closed up 0.1%, after fluctuating between small gains and losses.
- The Nasdaq Composite Index also gained 0.1%.
Longest Winning Streak Since November 2021
On Tuesday, both the S&P 500 and Nasdaq logged their longest string of wins since November 2021. Investors are eagerly awaiting clarity from Federal Reserve officials regarding the potential path of interest rates. Fed Chairman Jerome Powell is scheduled to deliver a closely watched speech on Thursday.
Falling Bond Yields Fueling the Rally
The recent rally in stocks can be attributed to the continued easing of benchmark rates used to finance the economy. On Wednesday, the 10-year Treasury yield pulled back to 4.522%, after briefly touching a 16-year high of 5% in October.