Dow, S&P 500, and Nasdaq open higher as oil prices and Treasury yields ease

US stock markets opened with a broad rally on September 17, 2026, clawing back losses from the previous session’s sell-off triggered by the Federal Reserve’s decision to raise interest rates for the first time in three years. The relief came courtesy of two forces that had been squeezing investors for weeks: oil prices fell sharply and Treasury yields retreated from levels not seen in nearly two decades.

Dow E-minis climbed roughly 0.7% to 1.13% in early trading. S&P 500 futures gained between 0.8% and 1.21%, while the tech-heavy Nasdaq 100 led the charge, rising approximately 1.06% to 1.58%.

Oil slides, yields retreat

Brent crude futures dropped more than 2%, settling into a range around $102 to $103.70 per barrel. West Texas Intermediate fell roughly 1.7%, sliding toward $100.70. Reports of a potential recovery in Saudi Arabia’s pipeline infrastructure, which had been disrupted amid broader Middle Eastern tensions, helped take some of the speculative premium out of crude.

Meanwhile, the yield on the 10-year Treasury note slipped back below 5%. Just a day earlier, it had briefly touched 5.041%, a 19-year high that sent a chill through equity markets.

The Fed’s move and what comes next

The backdrop to all of this is the Fed’s September 16 decision to raise its benchmark rate by 25 basis points, the first hike in three years. The move itself wasn’t a surprise. What spooked markets was the accompanying language, which left the door wide open for additional increases depending on incoming economic data.

Market pricing suggests traders expect at least one more rate increase before the end of the year.

Tech leads the rebound

Pre-market trading showed particular strength in technology names, with Nvidia and Amazon among the notable gainers. Energy stocks, conversely, faced headwinds from the oil price decline. Investors appeared to rotate out of the commodity trade and back into growth names.

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