U.S. Stocks Recover Amid Oil Price Cooldown

Michael Pistillo worked on the floor at the New York Stock Exchange on Monday, September 14, 2026. Following a drop in oil prices on Friday, Wall Street received some relief, leading U.S. stocks to conclude their first winning week in three weeks.

The S&P 500 increased by 0.5%, breaking a streak of three days of losses affected by considerable fluctuations due to rising bond market yields. Despite the week’s unsettled nature, the primary gauge of U.S. stock market health closes just 0.7% shy of its record high established last month. The Dow Jones Industrial Average rose by 478 points, or 0.9%, and the Nasdaq composite added 0.5%.

Stocks benefited from Brent crude oil dropping 2.8% to $97.44 per barrel. The price fluctuations are rooted in uncertainty over the Middle East’s oil supply amid the ongoing war with Iran. Hopes for an agreement to reopen the Strait of Hormuz keep oil prices in flux as expectations shift.

Trading experienced turbulence on Friday, especially after the release of a U.S. consumer sentiment report that pushed Treasury yields higher. The University of Michigan reported that consumers foresee inflation reaching 4.6% in the coming year, up from 4% predicted previously. Despite being the lowest in four months, consumer sentiment did not decline as much as economists anticipated.

Expectations of rising inflation pose risks for the economy due to potential consumer behavior that could exacerbate inflation further. Some survey respondents mentioned rushing to buy certain products now to sidestep future price increases, which could spur sellers to elevate prices more.

After the consumer sentiment report, the 10-year Treasury yield briefly climbed to 5.22%, up from 5.18% Thursday, nearing its highest point since 2007. High yields are known to slow economic activity by increasing borrowing costs, impacting stock prices and other investments. Since the conflict with Iran began, the 10-year yield has surged from 3.97%, causing concern across various financial markets due to inflation fears, expensive oil, hefty government debts, and signals of sustained economic vigor.

Later, as oil prices dipped, the 10-year yield retreated to 5.15%, aiding Wall Street stocks to recover. Akamai Technologies propelled the market higher with its stock climbing 3.2% following a $11.6 billion, multiyear agreement with Anthropic, the company responsible for the Claude AI chatbot. Costco Wholesale also saw a 2.9% rise after surpassing analyst profit expectations for its latest quarter. Strong profit reports from American firms sustain the stock market despite inflation and oil price concerns.

The S&P 500 gained 39.28 points to reach 7,743.41. The Dow Jones Industrial Average advanced 478.64 to 51,828.62, while the Nasdaq composite climbed 129.34 to 27,068.72.

Globally, stock markets displayed a mixed reaction. European indexes were varied, following significant moves in Asia. Japan’s Nikkei 225 rose 1.3%, whereas Hong Kong’s Hang Seng decreased by 1%.