NEW YORK / RankWire.AI / – U.S. stocks ended modestly higher Wednesday as long-term Treasury yields fell sharply. The S&P 500 rose 16.22 points, or 0.21%, to 7,707.98, ending a three-session losing streak. The Dow Jones Industrial Average gained 119.65 points, or 0.22%, to close at 53,463.05. The Nasdaq Composite added 41.38 points, or 0.16%, finishing at 26,331.09. Falling government bond yields helped major indexes recover after several sessions of pressure from rising borrowing costs.
Bond prices climbed after the U.S. Treasury Department announced larger liquidity support buybacks for longer-dated government debt. Starting September 9, the maximum purchase size will increase from $2 billion to at least $4 billion per operation. The change covers nominal coupon securities in the 10-to-20-year and 20-to-30-year maturity sectors. The increased amounts will remain in effect through November 4. The department said strong volumes of high-quality offers supported the decision to increase liquidity operations in those sectors.
Treasury yields moved lower following the announcement, reversing part of a recent rise in long-term borrowing costs. The 10-year Treasury yield fell to about 4.65%, while the 30-year yield declined to about 5.20%. The 30-year yield had reached 5.337% on Tuesday, its highest level since 2007. Bond yields move inversely to prices, so stronger demand for government debt pushed yields lower. The retreat eased pressure that had accompanied the recent selloff in longer-term government bonds.
Healthcare shares strengthen market gains
Healthcare stocks provided another source of support during Wednesday’s session as several pharmaceutical shares recorded large gains. Moderna shares surged 177%, while Merck advanced 12.6% after the companies announced positive results from a Phase 3 melanoma trial. The INTerpath-001 study tested personalized mRNA therapy intismeran autogene with Keytruda following surgical removal of high-risk melanoma. The combination met its primary endpoint for recurrence-free survival. It also met a key secondary endpoint measuring survival without distant cancer spread.
The healthcare rally helped offset mixed trading elsewhere, particularly across parts of the technology sector. Consumer-related shares also contributed after several major companies released quarterly results during the session. Estée Lauder climbed more than 16% following its earnings report, adding to gains among consumer stocks. Target and Lowe’s also advanced after reporting their latest financial results. Smaller companies generally outperformed large-cap indexes, with the Russell 2000 gaining about 0.5% as the broader market recovered.
Major indexes halt three-day decline
Wednesday’s advance ended three consecutive losing sessions for the S&P 500, Dow and Nasdaq. The rebound came after higher long-term yields had weighed on equities earlier in the week. Even after Wednesday’s gains, the major indexes remained lower for the week through the close. The S&P 500 stood about 1% below the previous Friday’s level. The Dow had declined about 0.5% for the week, while the Nasdaq remained approximately 1.5% lower.
The broader 2026 performance remained positive despite the week’s decline and the recent pressure from bond markets. Through Wednesday’s close, the S&P 500 had gained about 12.6% since the start of the year. The Dow had risen approximately 11.2% over the same period. The Nasdaq remained ahead by about 13.3%, reflecting its stronger year-to-date advance. Wednesday’s session therefore marked a modest recovery for Wall Street as lower Treasury yields and healthcare gains lifted all three major U.S. stock indexes.
