Stock indexes closed lower on Thursday, with the S&P 500, Dow Jones, and Nasdaq 100 all falling to 1-week lows. Rising bond yields pressured stocks for the third consecutive session. The US economy showed strength, pushing T-note yields higher with better-than-expected GDP, jobless claims, and core capital goods orders reports.

US Q2 GDP was revised upwards to +3.8%, exceeding expectations. Personal consumption and core PCE price index also showed strength. Weekly initial unemployment claims fell to a 2-month low, and core capital goods new orders rose. August existing home sales were stronger than expected at 4.00 million.

Kansas City Fed President signaled no need for further rate cuts soon. Bitcoin price fell by over 3%. A potential government shutdown looms. Corporate earnings expectations are bullish. Markets await trade news and economic reports on personal spending, income, and inflation.

Markets anticipate a -25 bp rate cut at the next FOMC meeting. Overseas stock markets settled mixed. T-note yields rose on hawkish Fed comments and strong economic data. European government bond yields also increased. Eurozone saw growth in new car registrations, but M3 money supply growth slowed.

German consumer confidence survey improved. ECB unlikely to cut rates at next meeting. Chip stocks weakness impacted market. Cryptocurrency stocks struggled. CarMax reported lower revenue. Oracle shares fell. Intel and IBM saw gains. United Natural Foods rose. Earnings reports from various companies were due.

Read more at Nasdaq: Stocks Decline as Bond Yields Push Higher