New York stock market weak due to burden of government bond interest rates despite Micron's good performance

The three major stock indices of the New York Stock Exchange are showing weakness.

Even though Micron Technology announced strong performance, sentiment across the stock market is weak. U.S. mid- to long-term government bond yields are not expected to come down, putting a burden on the stock market.

As of 10:06 a.m. on the 1st (local time), the Dow Jones Industrial Average closed at 50,698.91 on the New York Stock Exchange, down 207.14 points (0.41%) from the previous day.

The Standard & Poor's (S&P) 500 Index was at 7,639.90, down 11.64 points (0.15%) from the previous day, and the Nasdaq Composite Index was at 26,859.45, down 1.62 points (0.01%) from the previous day.

Micron announced after the market closed the previous day that sales for the fourth quarter of fiscal year 2026, which ended on September 3, were recorded at $54.23 billion. This figure is almost five times the $11.32 billion in the same period last year. It also exceeded the expert forecast of $51.07 billion surveyed by LSEG. Sales guidance for the next quarter also far exceeded market expectations.

However, Micron's stock price is falling 3.25% on this day. It is interpreted that the artificial intelligence (AI) industry's insistence on speed control is putting pressure on the semiconductor industry and raising concerns about stock prices hitting high.

Google has launched Gemini 4 Argon, the latest version of its generative AI Gemini, but the market's response has been lukewarm. The stock price of Alphabet, Google's parent company, also remains at a low level.

“Stocks are near their peaks, but bond yields are also near multi-decade highs,” said Hardika Singh, economic strategist at Fundstrat. “There are questions about how much longer this rally can continue.”

Several indicators show that U.S. employment is solid.

According to a job reduction report released by Challenger, Gray & Christmas (CG&C), U.S. companies planned to reduce 43,281 people last month. It decreased by 18% compared to the previous month and by 20% compared to the same period last year. It is the lowest since 2022.

The U.S. manufacturing industry index fell below expectations.

The Manufacturing Purchasing Managers Index (PMI) announced by the Institute for Supply Management (ISM) for September was 54.5. The expected value was 55.0.

The September manufacturing PMI announced by S&P Global was 44.8, significantly lower than the expected 57.0.

By industry, energy rose by more than 1% and technology showed a strong performance. All other industries are falling.

Space launch company Rocket Lab's stock price is rising nearly 5% on the news that it has signed a multi-year contract with Japan's Synspective.

Accenture's stock price is soaring 17% as its fiscal fourth quarter performance exceeded expectations.

European stock markets are all trending downward.

The Euro STOXX 50 index is pointing to 6,193.37, down 1.21% from the previous day. Germany's DAX index is falling 0.75%, and France's CAC40 index is falling 1.48%. The UK's FTSE 100 index is plummeting 1.65%.

International oil prices are rising by more than 1%.

At the same time, the price of West Texas Intermediate (WTI) crude oil for delivery in November 2026, a nearby contract, is recording $91.68 per barrel, up 1.39% from the previous price.