Daily Market Snapshot: August 19, 2026

Brought to you by your local Edward Jones financial advisors. Wednesday 8/19/2026 Markets open higher as bond yields pull back – U.S. equity markets are higher in early trading on Wednesday, supported by a decline in bond yields following the announcement of increased U.S. Treasury buybacks. Lower yields appear to be providing a near-term tailwind for equity valuations. In international markets, Asia finished mostly lower overnight, while Europe is little changed. In energy markets, WTI oil prices are extending their recent advance, currently near $84 per barrel amid continued disruptions in the Strait of Hormuz. The U.S. dollar is lower against major currencies, consistent with the drop in bond yields. Bond yields decline following Treasury buyback announcement – Treasury yields are moving lower, with the 10-year yield near 4.65%. The decline follows the U.S. Treasury announcement that it will increase the size of its liquidity-support buyback operations for longer-dated securities in the 10-year to 30-year maturity range. The change will take effect September 9, 2026, and will remain in place until at least November 4, 2026. The Treasury noted that the larger operations are intended to improve liquidity in longer-dated securities. In our view, the announcement may help ease near-term liquidity pressures and improve market functioning, which could support prices and place downward pressure on yields, particularly for long-term bonds. However, it does not address what we consider the key factors driving yields, including government budget deficits, inflation expectations, economic growth, and Federal Reserve policy. U.S. pauses proposed 50% tariffs on select Canadian goods – The Trump administration has suspended the previously announced 50% tariffs for three days, allowing additional time for negotiations. The administration said Canada has expressed a commitment to reduce or remove certain tariffs and other trade restrictions affecting U.S. exports. The proposed U.S. tariffs would have applied to nearly $20 billion of Canadian goods focused primarily on the automotive, alcoholic beverage and dairy industries. Certain qualifying goods covered by the U.S.-Mexico-Canada Agreement (USMCA) would also be subject to the tariffs. However, exemptions would limit the impact to about 5% of the $382 billion in Canadian imports in 2025. The pause reduces the immediate risk of escalation, but its short duration means uncertainty remains elevated. Until a broader agreement is reached, businesses in the affected industries may continue to face planning challenges, potential supply-chain disruptions, and uncertainty over future costs. Important information: This is for informational purposes only and should not be interpreted as specific investment advice. Investors should make investment decisions based on their unique investment objectives and financial situation. While the information is believed to be accurate, it is not guaranteed and is subject to change without notice. Investors should understand the risks involved in owning investments, including interest rate risk, credit risk and market risk. The value of investments fluctuates and investors can lose some or all of their principal. Past performance does not guarantee future results. Market indexes are unmanaged and cannot be invested into directly and are not meant to depict an actual investment. Diversification does not guarantee a profit or protect against loss. Systematic investing does not guarantee a profit or protect against loss. Investors should consider their willingness to keep investing when share prices are declining. Dividends may be increased, decreased or eliminated at any time without notice. Special risks are inherent in international investing, including those related to currency fluctuations and foreign political and economic events. This section and content are designed for U.S. residents only. The services offered within this section are available exclusively through our U.S. financial advisors. Edward Jones' U.S. financial advisors may only conduct business with residents of the states for which they are properly registered. Please note that not all of the investments and services mentioned are available in every state.