Closing Bell: Stocks Rebound After Early Morning Selloff

Markets rebounded Thursday after Wednesday’s selloff, despite a volatile day in which oil prices moved higher, and semiconductor stocks came under pressure.

The S&P 500 (SPX) gained 0.33%, while the tech-heavy Nasdaq-100 (NDX) closed fractionally lower on the day. The Dow Jones Industrial Average ($DJI) advanced 1.08%, while the Russell 2000 (RUT) gained 1.38% but remained near correction territory. The CBOE Volatility Index (VIX) ended lower after a brief spike above 18 to start the session, closing at 16.45.

Oil prices advanced on Thursday amid renewed concerns over attacks on key energy infrastructure in the Middle East. Iran’s armed forces said an oil tanker was struck after “violating” rules while transiting the Strait of Hormuz. U.S. oil futures rose roughly 2.7% Thursday to about $97.67 per barrel.

The S&P 500 Health Care Index closed at a fresh all-time high. Technology bounced well off its lows but still finished in the red, down 0.65%. The PHLX Semiconductor Index (SOX) declined nearly 1%.

Meanwhile, long-term Treasury yields continued to move lower despite a hotter-than-expected Producer Price Index inflation report. The 10-year Treasury yield ended the day at 5.089%, down 10.1 basis points, while the 30-year Treasury yield fell 9.6 basis points to 5.429%. 

Five things to watch from Thursday’s market action: 

Tech Shares Bounce as AI Trade Recovers 

Tech shares initially fell more than1.5% on Thursday before bouncing off session lows with some stocks in the AI trade recovering. CoreWeave (CRWV) shares gained 5.94%, reversing course from early session losses. CoreWeave stock tumbled more than 15% Wednesday as investors grew fearful that the company was borrowing too much for its AI build-out. CoreWeave corporate bond yields also surged. Additionally, Oracle (ORCL) and Micron Technology (MU) rebounded off early session losses to trade 3% and 1.87% higher, respectively. See Neoclouds 'Will Not Collapse by Any Means:' Rolf Bulk on CRWV, NVDA & MU Acceleration 

TSMC Q3: Record Profit, Supply Still the Constraint 

Taiwan Semiconductor Manufacturing Co (TSM) ADRs fell 1.8% after it posted a record third-quarter net profit of $23.59B, up 69% y/y and ahead of consensus. The company raised its FY26 revenue growth guidance to about 44% in USD terms, up from “slightly above 40%.” FY26 capex is unchanged at $60–64B, and management said it is too early to give a capex figure for next year. Management said demand is still well above what TSMC can supply and shows no sign of slowing. It expects strong Q4 demand, called leading-edge demand very robust, and pointed to rising demand for agentic AI CPUs as part of its strong AI conviction. See TSM Earnings Support AI Demand Accelerating, CapEx Weighs on Stock Outlook 

Inflation Heats Up as Gasoline Lifts Retail Sales 

Producer prices surged in September, with headline PPI rising 1.3% month over month, the largest increase since March 2022, driven largely by a sharp jump in energy prices. Meanwhile, retail sales rose a stronger-than-expected 0.8%, but much of the gain came from higher gasoline spending. Excluding autos and gas, sales increased just 0.2%, pointing to more modest underlying consumer demand. See Hot CPI & PPI, Rising Yields Hit AI Trade with Reality Check 

Rocket Lab Delays Neutron Launch to 2027 

Rocket Lab (RKLB) has delayed Neutron’s first launch from Q4 2026 into 2027 after identifying manufacturing defects in the carbon-composite layers of its Stage 1 propellant domes. The company says the issue has been resolved, but the setback marks the second manufacturing-related delay for Neutron. Following the update, KeyBanc lowered its price target to $100 from $135 while maintaining an Overweight rating. 

For more on regional bank earnings, see Regional Bank Earnings Follow the Big Banks’ Lead

This material is intended for informational purposes only and should not be considered a personalized recommendation or investment advice. Investors should review investment strategies for their own particular situations before making any decisions.

Schwab Network is brought to you by Charles Schwab Media Productions Company (“CSMPC”). CSMPC and Charles Schwab & Co., Inc. are separate but affiliated subsidiaries of The Charles Schwab Corporation. CSMPC is not a financial advisor, registered investment advisor, broker-dealer, futures commission merchant, or forex dealer member.

Charles Schwab Media Productions Company and all third parties mentioned are separate and unaffiliated, and are not responsible for one another's policies, services or opinions.

Data contained herein is obtained from what are considered reliable sources. However, its accuracy, completeness, or reliability cannot be guaranteed. All events and times listed are subject to change without notice.