NEW YORK / RankWire.AI / – Wall Street closed higher on Wednesday, supported by a significant decline in long-term Treasury yields. The S&P 500 increased by 16.22 points, or 0.21%, finishing at 7,707.98. The Dow Jones Industrial Average rose 119.65 points, or 0.22%, ending at 53,463.05. The Nasdaq Composite moved up 41.38 points, or 0.16%, closing at 26,331.09. These gains marked the end of a three-day losing streak for all three major U.S. indexes.
Much of the session’s momentum was driven by the bond market following the U.S. Treasury Department’s announcement of increased liquidity support buybacks for longer-dated debt instruments. Starting September 9, the maximum purchase size will rise to at least $4 billion per operation from $2 billion. This increase applies specifically to nominal coupon securities with maturities in the 10-to-20-year and 20-to-30-year ranges. The department indicated that these larger purchases will continue through November 4, following robust volumes of high-quality offers.
Following the announcement, Treasury yields declined as bond prices increased. The benchmark 10-year yield fell to approximately 4.65%, and the 30-year yield dropped to around 5.20%. On Tuesday, the 30-year yield had climbed to 5.337%, reaching its highest level since 2007. The decrease in yields alleviated some of the pressure that rising borrowing costs had imposed on equities, aiding Wall Street’s recovery from earlier losses during the week.
Healthcare Sector Provides Additional Momentum
The healthcare sector bolstered the market after Moderna and Merck reported positive results from late-stage studies on melanoma. Moderna shares surged 177%, while Merck increased by 12.6% during trading hours. Their Phase 3 INTerpath-001 trial evaluated the combination of intismeran autogene with Keytruda following surgery for patients with high-risk melanoma. The trial met its primary endpoint for recurrence-free survival and also achieved a key secondary endpoint, which assessed survival without the spread of cancer to distant parts of the body.
After these reports, consumer stocks also saw gains as several major companies announced quarterly earnings. Estée Lauder’s shares rose over 16% after its earnings release. Target and Lowe’s also experienced gains following their latest financial results. Smaller-cap stocks outperformed the large caps, with the Russell 2000 increasing about 0.5%. These movements helped extend the market’s recovery beyond healthcare. Technology shares showed mixed results, which limited the overall gains in the major indexes.
Major Indices Still Down for the Week
Despite the rise on Wednesday, the three main U.S. stock indexes remained lower for the week ending at the close. The Nasdaq was down approximately 1.5%, the S&P 500 was about 1% below its previous Friday level, and the Dow declined roughly 0.5%. The rebound came after several sessions in which increasing long-term yields had exerted downward pressure on stock valuations and prompted investors to adopt a more cautious approach across key sectors.
As of Wednesday’s close, the major averages remained firmly in positive territory for 2026. The S&P 500 had gained roughly 12.6% since the start of the year, the Dow had increased approximately 11.2%, and the Nasdaq was up about 13.3%. Wednesday’s session marked a modest recovery for Wall Street, fueled by falling Treasury yields and strong gains in healthcare. The announcement of the Treasury Department’s buyback program and positive results from the melanoma trial were among the most influential factors driving the market during the trading day.