Stock Market Midday, Sept. 3: Stocks Rally as Treasury Yields Fall, Broadcom Falls Despite Earnings Beat

U.S. equity markets advanced over 1% on September 3 as Treasury yields retreated and Federal Reserve Governor Christopher Waller signaled a preference for holding rates steady absent an inflation surprise. The comments lowered the probability of a September rate hike, lifting the S&P 500, Dow Jones, and Nasdaq each more than 1%. Industrials and financial services paced the rally.

SNOW jumped 20% after reporting strong quarterly earnings. NVDA gained on news it will acquire AI platform Hugging Face, though no deal terms were disclosed. AVGO declined despite beating consensus estimates, with investors appearing to take profits after the print.

Waller's dovish tone marks a shift from recent Fed rhetoric and suggests the central bank may pause tightening if upcoming inflation data cooperates. The move in SNOW reflects continued investor appetite for cloud infrastructure names that demonstrate revenue acceleration, while AVGO's post-earnings drop illustrates that beat-and-raise is no longer sufficient in a yield-sensitive tape.