US stocks are rallying into Thursday's close, with the S&P 500, Dow and Nasdaq all up more than 1% as the single biggest driver — a pullback in Treasury yields after Fed Governor Christopher Waller signaled he is leaning toward holding rates steady — outweighs an escalating US-Iran conflict that is pushing oil higher.

Where the tape stands

At the open the S&P 500 was up 0.57%, the Dow 0.80%, the Nasdaq 0.64% and the Russell 2000 1.13%; by midday all major large-cap indexes were up over 1%, with roughly 57% of US issues advancing (TheStreet live blog). It builds on Wednesday's rally that snapped a three-day losing streak.

Why it's moving

Waller said he'd be "inclined to support" holding the funds rate steady at the Sept 15-16 meeting if inflation data keep improving — a notable contrast with hawkish Chair Kevin Warsh. The 10-year yield eased to around 4.75%, off Wednesday's high (its loftiest since Nov 2023), and CME FedWatch odds of a September hike fell to about 48.4%, down ~15 points on the day (CNBC/CME via TheStreet).

Movers

• Snowflake (SNOW) +~22% on a strong Q2 beat.
• ChargePoint (CHPT) +~51% after topping Q2 estimates with record non-GAAP gross margin.
• Palantir (PLTR) +8.7% on a US Army TITAN prime-contractor award and a senior hire.
• Nvidia (NVDA) +0.55% to $225.64 after agreeing to buy AI platform Hugging Face for ~$12.93B (FT).
• Downside: Ultragenyx (RARE) -44% on a failed Phase 3 trial; Victoria's Secret (VSXY) -12%; Ciena (CIEN) -11%; NetApp (NTAP) -9.4%; HPE -7.5%; Campbell's (CPB) -6.4% on weak results and a dividend cut.

Macro today

• Initial jobless claims 206K vs 205K expected (prior 203K) — labor market still firm (InvestingLive).
• ISM Services PMI (Aug) and S&P Global Services PMI were also due at 10:00 ET; consensus for ISM was ~54.1 (Investing.com).
• Challenger job cuts: employers announced 52,881 cuts in August, up 58% m/m but down 38% y/y — the lowest August total since 2022 (TheStreet).
• Trade deficit widened to $88.6B in July, the largest gap since March 2025, as capital-goods imports jumped (Commerce Dept via TheStreet).

Tomorrow's headliner: the August jobs report (Non-Farm Payrolls) — the key input for the Fed's September decision.

Rates, dollar & commodities

10-year yield ~4.75% (down); the dollar retreated. WTI crude +~2.1% near $92.94 and Brent +~1.9% near $97.45 as US-Iran strikes stoke supply fears around the Strait of Hormuz. Gold +1.81% to ~$4,494/oz and silver +1.42% to ~$66.39 (TheStreet, early trade).

Global context

Iran targeted US allies Jordan, the UAE and Kuwait with missiles and drones overnight in retaliation for American airstrikes; Japan's 10-year JGB yield touched 3% for the first time since 1996, a reminder that the global bond-yield backdrop remains the market's swing factor.

What to watch into the close and after the bell

Watch whether the yield relief holds into the 4:00 ET close or fades on the oil bid, and whether energy leadership broadens the rally. The real test is Friday's payrolls: a hot number revives the September-hike debate Waller just tried to cool, while a soft print cements the "hold." Keep an eye on any further Iran-Hormuz headlines that could re-price crude overnight.

As of 3:44 PM ET. Sources: TheStreet, CNBC, InvestingLive, Investing.com. Automated US market brief for discussion and education only — not investment advice. Verify before acting.