Equities Edge Higher as Treasury Yields Retreat; Oil Plunges 4.6% on Diplomacy Hopes

Market Snapshot

S&P 500 (SPY) — 765.91 (+0.32%) [Twelve Data] · Nasdaq 100 (QQQ) — 710.72 (+0.62%) [Twelve Data] · Dow Jones (DIA) — 535.24 (+0.30%) [Twelve Data] · Bitcoin (BTC) — $79,197.65 (-1.95%) [Binance US] · Gold (GLD) — $428.07 (+0.32%) [Twelve Data] · US Oil (USO) — $126.15 (-4.58%) [Twelve Data]

Stock Markets

U.S. equities extended their recent rally Tuesday, with the S&P 500 gaining 0.32% to close at 7,677.28 and the Nasdaq Composite advancing 0.66% to 26,151.30, according to CNBC. The Dow Jones Industrial Average added 160.24 points, or 0.3%, marking a three-day winning streak. The session's advance came as Treasury yields retreated for a second consecutive day, easing pressure on equity valuations.

Semiconductor stocks provided notable lift to the Nasdaq, according to CNBC, as investors positioned ahead of key earnings reports later in the week. The Wall Street Journal reported that markets were pricing in reduced inflation fears alongside the sharp drop in crude oil prices, which helped support risk appetite across growth-oriented sectors.

Crypto Markets

Bitcoin fell 1.95% to $79,197.65, pulling back from the $80,000 level after a sharp weekly rally that had produced one of its largest green candles in history, according to The Block. Ethereum declined 1.86% to $2,468.40, while Solana dropped 4.08% to $97.39. XRP led major-token losses with a 5.60% decline to $1.4458, and BNB fell 2.44% to $697.81.

The pullback came despite continued inflows into spot Bitcoin ETFs, with CoinDesk reporting that funds took in $337.56 million on August 24, marking a seventh consecutive day of net inflows. According to CNBC, Bitcoin had closed in on the $80,000 mark earlier in the session as renewed ETF inflows and improving risk appetite extended the recent rally. The Block noted that while it's too early to call a full-blown bull market, the move above $80,000 and the ETF inflows "look like a catch-up trade since bitcoin has been lagging other risk assets for a while now," according to Min Jung, associate researcher at Presto Research.

However, CoinMarketCap reported that U.S. spot Bitcoin ETFs saw a record $6.35 billion in 30-day outflows as BTC fell from recent highs, creating a conflicting narrative around institutional demand. The report flagged $23,980 as a worst-case downside target by one analyst, though this appears to reference longer-term technical scenarios rather than near-term expectations. The divergence between daily inflows and monthly outflows suggests recent buying may be stabilizing after a period of sustained redemptions.

The broader crypto rally that began last week saw Bitcoin surge more than 20% in three days, according to CNBC, with the latest move extending that momentum despite Tuesday's modest decline. Crypto stocks rallied in sympathy, according to the Wall Street Journal, as Bitcoin logged its best week in over two years. The sustainability of the rally will likely depend on whether ETF inflows can continue offsetting the record monthly redemptions and whether macro conditions remain supportive.

Equities Edge Higher as Treasury Yields Retreat; Oil Plunges 4.6% on Diplomacy Hopes

Market Snapshot

Stock Markets

Tech Selloff Drags Equities as Bessent Unveils Iran Sanctions; Bitcoin Surges 4.4%

Gold & Commodities

Oil

Crypto Markets

Macro & Global Drivers

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