Stocks near August highs as bond yields and inflation shape market outlook

The U.S. Stock market is holding near levels first seen in early August, with the Morningstar US Total Market Index tracking a roughly 3% gain for the quarter and up just shy of 14% in 2026.

Bond yields have not damaged stocks but are turning the market defensive, according to fund managers from Capital Research, T. Rowe Price, and others, as they dial back on risk.

Analysts at Morningstar DBRS highlight private credit as a vulnerable corner of the debt market, while Oracle’s data center delay in New Mexico and the rise of stock tokens add further layers to the market’s evolving landscape.

Read the full story at morningstar.com.