Rising bond yields and surging oil prices are reminding some Wall Street veterans of the market mood before the dot-com bust, but they say the resemblance is not yet a reason to leave. According to Sina Finance, investors are facing multiple headwinds as the 10-year U.S. Treasury yield nears 5%, long-dated bond yields approach their highest level since 2007, West Texas Intermediate crude hovers near $100 a barrel, and traders bet the Federal Reserve will raise rates at this week's meeting to fight sticky inflation.
September is also typically a weak month for stocks. According to Sina Finance, those factors may help explain why the S&P 500 has barely moved since early June, after rising 11% in the first five months of 2026 and posting double-digit gains in each of the previous three years.
Even so, stocks rose on Friday as investors bought the dip after four straight losing sessions. Drew Pettit, chief investment strategist at Roundhill Investments, said the stock market is like a duck: calm on the surface, but paddling furiously underwater.
According to Sina Finance, strategists at Bank of America and CIBC Capital Markets said last week that technology stocks had risen for years during periods when the Federal Reserve was hiking rates and Treasury yields were climbing, before the internet bubble burst and triggered a sharp selloff. Michael Rosen, chief investment officer at Angeles Investment Advisors, said the bigger risk is missing the final stretch of a bull market, when investors usually capture the richest returns.