September 26, 2026
Global financial markets ended the week with a renewed appetite for technology stocks, but the rally is being tested by elevated oil prices and rising government bond yields that threaten to keep inflation and borrowing costs high.
Wall Street closed higher on Friday, with the S&P 500 gaining 0.51%, the Nasdaq 0.48% and the Dow Jones Industrial Average 0.93%. Technology shares led the advance, with Microsoft rising 3.7% after unveiling new artificial-intelligence capabilities for its Copilot platform.
AI remains the market’s main growth story
Investor enthusiasm for artificial intelligence has continued to support technology valuations despite growing questions about the scale of spending required to build AI infrastructure.
Advanced Micro Devices became the latest U.S. chipmaker to surpass a $1 trillion market valuation earlier this week, as investors continued betting on demand for AI computing. Reuters reported that AMD’s shares had nearly tripled during 2026 by September 21.
The Nasdaq has also recovered from a sharp summer decline. On September 22, the index briefly reached a record intraday level of 27,212.68, helped by falling oil prices and renewed confidence in technology companies.
Oil creates a counterweight
The enthusiasm around AI is occurring alongside a very different story in energy markets.
Oil prices remain above $100 a barrel amid disruption and uncertainty surrounding Middle Eastern supply routes. On September 20, Brent crude fell 3.4% to $100.34, while WTI fell 4.51% to $95.78 as markets responded to hopes for renewed U.S.-Iran diplomacy and signs of recovering Saudi shipments.
Iraq’s state oil marketer was also reported on Saturday to be offering last-minute crude cargoes as extremely high shipping costs complicate purchases from the Persian Gulf.
Bond yields add another challenge
Higher energy prices are feeding concerns about inflation, while government borrowing costs have also climbed.
Reuters reported on Friday that the U.S. 10-year Treasury yield was around 5.17%, after reaching roughly 5.22% during the week. Japan’s 10-year government bond yield touched 3.115%, its highest level since 1996.
Higher yields matter for businesses because they increase financing costs and can make future corporate earnings less attractive relative to government bonds. They can also put pressure on highly valued growth companies whose valuations depend heavily on expectations of future profits.
What businesses are watching next
The final week of September brings a new set of economic indicators that could influence expectations for interest rates. Reuters identifies U.S. employment data and U.S. and euro-zone inflation figures as key events for markets heading into the fourth quarter.
For companies and investors, the central tension is becoming clearer: AI investment is supporting equity markets, while energy costs and higher borrowing rates are increasing pressure on the wider economy.
That combination is likely to keep corporate investment, technology spending, energy costs and interest rates at the center of business-market discussions as the fourth quarter begins.
Sources: Reuters reporting published September 21–25, 2026; Bloomberg reporting carried by Rigzone on September 26, 2026.
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