Nasdaq Index: Tech Stocks Slide as Oil and Bond Yields Climb

• West Texas Intermediate crude climbed to $96/barrel amid U.S.-Iran strikes and ongoing Strait of Hormuz closure concerns, while the 10-Year Treasury yield approached 4.5% and the 30-Year yield neared 5%
• Technology stocks led losses with Nvidia and Microsoft down 3%, Dell falling over 4%, Oracle dropping nearly 6%, and quantum computing stocks like Rigetti declining 10% on profit-taking
• Strong ADP hiring data and ISM Services Index at 53.6 showed continued economic strength, undermining the case for Fed rate cuts and contributing to higher bond yields

Market Summary: Tech Stocks Fall on Rising Oil and Treasury Yields

Key Market Movements (June 3, 2026)

U.S. equities declined sharply as rising oil prices and Treasury yields pressured risk assets. The Dow Jones fell 424 points, the S&P 500 dropped 0.7%, and the Nasdaq Composite declined 1%, marking one of its steepest declines in recent weeks.

Energy Markets Drive Concerns

West Texas Intermediate crude surged approximately 2% to $96 per barrel, while Brent crude approached $97. The rise followed overnight U.S.-Iranian military exchanges, reigniting concerns about the Strait of Hormuz remaining closed. Energy stocks outperformed: Exxon Mobil and Marathon Petroleum each gained 3%, with APA Corp also advancing.

Bond Yields Climb on Strong Economic Data

The 10-Year Treasury yield approached 4.5% while the 30-Year yield neared 5%. ADP reported stronger-than-expected private hiring, and the ISM Services Index came in at 53.6 in May, indicating continued economic expansion and diminishing prospects for Federal Reserve rate cuts.

Technology Sector Weakness

Tech stocks led the decline: Nvidia fell 3%, Microsoft dropped 3%, Dell Technologies lost over 4%, and Oracle declined nearly 6%. Quantum computing stocks also retreated, with Rigetti Computing down 10% and IBM falling 7% despite announcing a $10 billion quantum computing investment.

Technical Analysis

The Nasdaq is trading below last Friday's close of 26,972.62, potentially forming a bearish reversal pattern. The first downside target is the retracement zone at 26,445.83 to 26,270.15, with major support at 25,701.44.

Market Outlook

The combination of elevated oil prices near $96 and rising yields challenges the narrative of cooling inflation and imminent rate cuts, presenting headwinds for equities despite the intact uptrend.