US Markets
Stocks fade, energy jumps, and yields climb
The major U.S. averages finish slightly lower while oil, rates, and volatility all move higher.
U.S. stocks spend most of the day chopping sideways before ending modestly lower. The S&P 500 slips 0.1% to 7,753.1099, the Nasdaq Comp. falls 0.3% to 26,605.3574, the Dow Jones edges down 0.1% to 53,975.9805, and the Russell 2000 drops 0.6% to 3,017.397. SPY ends down 0.03%, while QQQ falls 0.3% and IWM slides 0.5%.
The sector split is clear. Energy rises 4.7% and leads the board, while Health gains 1.7% and Materials adds 0.6%. Financials and Comm Svcs also finish higher. The laggards are Real Estate, down 1.3%, Utilities, down 1.1%, Tech, down 0.9%, and Staples, down 0.2%. CNBC Markets says U.S. oil rises back above $82 as doubt grows Washington and Tehran will reach a Hormuz deal, which lines up with the move in Energy.
Options activity is still active. SPY shows a put-call ratio of 1.03, with 3,780,957 call volume and 3,895,788 put volume. QQQ shows a put-call ratio of 0.92, with 2,362,277 calls and 2,183,030 puts. The most active strikes cluster tightly around the current tape, with SPY calls at 774.0 and puts at 773.0, and QQQ calls at 722.0 and puts at 721.0.
The day also brings a firmer rates backdrop. The 5-year Treasury closes at 4.405%, the 10-year at 4.699%, and the 30-year at 5.243%. LQD falls 0.6%, HYG slips 0.2%, and MUB is down 0.1%. That mix keeps pressure on rate-sensitive pockets even as the S&P 500 stays above both its 50-day and 200-day moving averages.