Stock Market Today: Why the S&P 500 Slipped as Yields Hit a 19-Year High
The S&P 500 fell about 0.75% to 7,706 on September 23 as the 10-year Treasury yield climbed above 5.1%, its highest since 2007, and traders raised the odds of another Fed hike in October. SPY sits about 1.5% below its August record.
US stocks fell on Wednesday, September 23: the S&P 500 lost about 0.75% to close near 7,706, the Nasdaq Composite dropped about 1.1% and the Dow gave up roughly 350 points. The trigger was the bond market, not earnings. The 10-year Treasury yield pushed above 5.1%, its highest level since 2007, after September business-activity data showed the fastest growth in five years and revived inflation worries. Traders responded by pricing roughly a 71% chance of another quarter-point Fed hike at the October 27–28 meeting. The S&P 500 ETF (SPY) closed at $767.81, still only about 1.5% below its August 13 record, so this is a pullback inside an uptrend rather than a breakdown.
What Is Driving the Move?
Bond yields at a 19-year high
The 10-year Treasury yield climbed above 5.1% and the 5-year crossed 5% for the first time since 2007. Higher risk-free yields raise the discount rate applied to future company profits, which hits richly valued growth stocks hardest — the reason the Nasdaq fell more than the Dow.
Strong data revived rate-hike bets
September business activity expanded at its fastest pace in five years. Good news for the economy read as bad news for rates: traders lifted the odds of a second hike in this cycle, after the Fed raised its target range to 3.75%–4.00% on September 16, and Fed Governor Michael Barr said further adjustments are likely to be needed.
Oil near $98 adds to the inflation story
Brent crude traded around $98 a barrel and WTI near $92. Higher energy costs feed straight into inflation expectations, which is the same pressure pushing yields up.
Tech led the decline
Rate-sensitive megacaps did most of the damage: NVIDIA fell about 1.5% and the Nasdaq-100 ETF (QQQ) lost roughly 0.8% to $741.21. Mortgage rates also rose to around a two-year high, a reminder that the move in yields reaches well beyond the stock market.
Technical Analysis
SPY closed at $767.81, above its 20-day average (about $765) and 50-day average (about $761) — the short-term uptrend is intact despite the down day.
Resistance is the $773–$775 area where SPY stalled on September 21–22, then the August 13 record high at $779.37.
Support sits at the 50-day average near $761, then the September lows around $750–$754. The 200-day average near $718 is far below and marks the long-term trend.
See the live S&P 500 (SPY) chart on The Tradeskill for where price sits versus $761 and $775 right now.
What Traders Should Watch
- The 10-year Treasury yield: a sustained move above 5% has been the clearest headwind for stocks this month.
- Fed speakers and the odds of an October 27–28 hike, which have swung sharply with each data release.
- Oil prices, given how directly they feed inflation expectations.
- Headlines from President Xi Jinping’s Washington visit, where trade, rare earths and AI are on the agenda.
None of this is a guarantee of what happens next. It is a checklist for reading the move, not a prediction.
The Tradeskill View
Days like this are a useful lesson in what actually moves an index: there was no big earnings miss, just a repricing of interest rates. Watching the bond market is part of trading stocks.
A 0.75% drop with the index still near its record is normal noise in an uptrend. The levels that would change the picture are the 50-day average near $761 and the September lows around $750.
Pull up the live SPY chart on The Tradeskill, mark those levels, and practise your read with $20,000 in virtual cash before risking real money.
Want the live number? See today's live price and free AI buy/sell signal →
Frequently asked questions
Why is the stock market down today?
On September 23 the main driver was rising bond yields: the 10-year Treasury yield topped 5.1%, its highest since 2007, after strong business-activity data raised the odds of another Fed rate hike in October.
How far is the S&P 500 from its record high?
The S&P 500 ETF (SPY) closed at $767.81, about 1.5% below its August 13 record high of $779.37.
Why do higher Treasury yields hurt stocks?
Higher yields make safe bonds more attractive relative to stocks and raise the rate used to value future profits, which weighs most on high-growth, highly valued technology companies.
Can I practise trading the S&P 500 without real money?
Yes. The Tradeskill lets you trade SPY, QQQ and major US stocks with $20,000 in virtual cash on live prices, for free.
Latest Market News
The real, dated sources this analysis was researched from. We don't copy them, we just link out so you can read further.
Stock market today: Dow, S&P 500, Nasdaq slip as oil steadies, markets eye looming Trump-Xi meeting
Live coverage of the session: yields at a 2007 high, October hike odds, oil and the Xi visit.
Yahoo Finance · September 23, 2026
Stock Market Midday, Sept. 23: Stocks Slip as Treasury Yields Hit 19-Year High
Why strong September business-activity data pushed yields and rate-hike bets higher.
The Motley Fool · September 23, 2026
Stock Market Today (Sept. 23, 2026): Nasdaq, Russell 2000 sink as 5-year Treasury hits 5% for first time since 2007
The small-cap and tech side of the sell-off as the 5-year yield crossed 5%.
TheStreet · September 23, 2026
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Disclaimer: this article is educational analysis, not financial advice. Markets involve risk, and past behavior does not guarantee future results. Always do your own research.
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NVIDIA Stock Key Levels Today: $225 and 4% From the Record
NVIDIA closed at $225.51 on September 23, down 1.5% as bond yields jumped, but still up about 7% from its September 14 low and roughly 4% below its $235.74 record close. $221 and $215 are the supports; $230 and $236 the resistance.