Dow jumps 600 points, heads for best day in a month as yields fall: Live updates

U.S. equities rallied Thursday as Treasury yields retreated and investors bet the Federal Reserve may pause rate hikes this month. The S&P 500 climbed 1.2%, while the Dow Jones Industrial Average jumped 600 points, heading for its strongest session in a month.

The move higher came as bond market pressure eased, with yields pulling back from recent highs. The shift reflected growing market expectations that the Fed could hold rates steady at its upcoming policy meeting, marking a potential break in the central bank's tightening campaign.

The S&P 500's 1.2% gain represented a sharp reversal from recent sessions, as investors recalibrated their views on monetary policy. The rally was broad-based, with both growth and cyclical sectors participating in the advance.

The bond-yield decline proved pivotal in lifting equity valuations, particularly in rate-sensitive sectors that have been under pressure during the Fed's hiking cycle. Thursday's session marked the Dow's best performance in four weeks, signaling renewed appetite for risk assets as the rate-hike outlook softened.