The bond-market rally is defying the typical investing playbook. Here’s why.

Nov 2, 2026 9:13 PM · MarketWatch

The U.S. economy expanded at its fastest clip in more than five years during the third quarter, according to the Commerce Department’s initial reading on third-quarter gross domestic product. Yet despite a barrage of robust data, Treasury bonds staged a surprise rally in October.

That shift caught market watchers off guard. Throughout August and September, surging Treasury yields weighed on virtually every corner of the market except technology. Investors again treated tech as a safe haven, on the view that the artificial-intelligence buildout could weather higher capital costs. As a result, technology was the only one of the S&P 500’s SPX 11 sectors to finish September in the green.

Intraday Data provided by FACTSET and subject to terms of use. Historical and current end-of-day data provided by FACTSET. All quotes are in local exchange time. Real-time last sale data for U.S. stock quotes reflect trades reported through Nasdaq only. Intraday data delayed at least 15 minutes or per exchange requirements.

Original source: MarketWatch