NEW YORK / RankWire.AI / – On Wednesday, U.S. equities finished on the rise, buoyed by a significant decrease in long-term Treasury yields. The S&P 500 added 16.22 points, or 0.21%, ending the session at 7,707.98. The Dow Jones Industrial Average increased by 119.65 points, or 0.22%, to close at 53,463.05. Meanwhile, the Nasdaq Composite gained 41.38 points, or 0.16%, reaching 26,331.09. This upward movement broke a three-day losing streak across all three major U.S. indices.
Much of the trading session was driven by movements in the bond market after the U.S. Treasury Department announced an increase in liquidity support buybacks for longer-term bonds. Starting September 9, the maximum purchase size per operation will rise to at least $4 billion from $2 billion. This change applies to nominal coupon securities maturing in 10-to-20 years and 20-to-30 years. The department indicated that these larger purchases will continue until November 4, following high volumes of high-quality offers.
Following the announcement, Treasury yields declined as bond prices moved upward. The benchmark 10-year yield dropped to approximately 4.65%, while the 30-year yield fell to around 5.20%. On Tuesday, the 30-year yield had climbed to 5.337%, its highest since 2007. The decrease in yields alleviated some of the pressure that rising borrowing costs had placed on stocks, helping Wall Street rebound from earlier losses during the week.
Healthcare Sector Boosts Market Confidence
Shares in healthcare companies gained ground after Moderna and Merck released promising results from late-stage trials for melanoma. Moderna shares surged 177%, while Merck increased by 12.6% during trading. The Phase 3 INTerpath-001 trial evaluated intismeran autogene combined with Keytruda following surgery for patients with high-risk melanoma. The trial met its primary endpoint of recurrence-free survival, as well as a key secondary endpoint that assessed the prevention of cancer spreading to distant sites.
Following these developments, consumer-focused stocks also rose, supported by earnings reports from major corporations. Estée Lauder advanced more than 16% after announcing its quarterly results. Target and Lowe’s also experienced gains after releasing their latest financial data. Smaller-cap stocks outperformed the large-cap indexes, with the Russell 2000 increasing roughly 0.5%. These moves contributed to broadening the market’s recovery beyond healthcare. Technology shares showed mixed performance, which limited the overall gains in the main indices.
Major Benchmarks Remain Weekly Losers
Despite Wednesday’s upward movement, the key U.S. stock indexes still posted weekly declines at market close. The S&P 500 was roughly 1% below its level from the previous Friday, while the Dow was down approximately 0.5%. The Nasdaq had fallen around 1.5%. The rebound followed several sessions marked by rising long-term yields, which weighed on stock valuations and prompted investors to adopt a more cautious approach across various sectors.
After Wednesday’s trading, the major averages remained in positive territory for 2026. The S&P 500 had gained about 12.6% since the start of the year, while the Dow had risen approximately 11.2%, and the Nasdaq was up around 13.3%. The session represented a modest recovery driven by lower Treasury yields and strong healthcare sector gains. The U.S. Treasury Department’s buyback plan and the positive melanoma trial results were among the most influential market catalysts during the day’s trading activity.