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Technology was the only sector up after a below-forecast inflation print

The technology fund VGT gained 0.7% on Wednesday, September 30, the only rise among the eleven sectors, after the PCE price index rose 3.4% in the year through August, under a 3.7% forecast, and the 30-year Treasury yield closed at 5.64%.

· 2 min read · ETF.net Research

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Key takeaways

  • The equal-weight market fell harder than the S&P 500.
  • July's inflation rate was revised down before this print.
  • The two largest technology holdings rose by different amounts.
  • Consumer staples posted the largest decline of the day.

Technology was the only one of the eleven sectors to rise on Wednesday. VGT, the fund that holds US technology companies, gained 0.7%. SPY, which holds the S&P 500, lost 0.3%. RSP, which holds those same companies in equal amounts, fell 0.7%, more than twice as much.

Technology was the only sector to rise

Sector funds, total return, Wednesday, September 30, 2026

  • Technology+0.7%
  • Energy−0.1%
  • Consumer Discretionary−0.2%
  • Communication Services−0.4%
  • Utilities−0.7%
  • Materials−0.8%
  • US Real Estate−1.0%
  • Financials−1.2%
  • Industrials−1.3%
  • Health Care−1.3%
  • Consumer Staples−1.5%

Consumer staples had the largest decline.

The Bureau of Economic Analysis said the PCE price index, the measure of prices consumers pay, rose 3.4% in the year through August. That matched July, after July was revised down from 3.7%, and it came in under the 3.7% economists surveyed by Dow Jones had expected.

Prices rose 0.3% in August, from a revised 0.1% in July. Without food and energy, prices rose 0.2% in the month and 3.0% over the year. That yearly rate matched July, after the July rate was revised down from 3.3%.

The way we read it, the largest technology shares rose on that shortfall. Nvidia makes up 17.7% of VGT and rose 0.5%. Apple, at 15.8%, rose 1.1%, so the smaller holding did more of the lifting.

Everyday goods took the largest drop. XLP, which holds the big US grocers and household brands, lost 1.5%. Walmart fell 2.7%, Procter & Gamble fell 2%, and Costco fell 1.5%.

XLU, which holds the big US power and gas companies, fell 0.7% after rising 1.2% on Tuesday. Constellation Energy, a large holding, fell 4%.

The two-year Treasury yield closed at 4.88%, down from 4.89% on Tuesday. The 10-year closed at 5.29%, up from 5.26% on Tuesday, and the 30-year closed at 5.64%, above the 5.62% it touched that day.

The fund that holds US Treasurys maturing in more than 20 years, TLT, fell 0.6% and touched its lowest price in the past year.

Frequently asked

How much did technology rise?

The fund that holds US technology companies gained 0.7%.

What was the inflation reading?

The PCE price index rose 3.4% in the year through August, under a 3.7% forecast.

Which sector fell the most?

Consumer staples had the largest decline.

What happened to long-term Treasury prices?

The fund that holds US Treasurys maturing in more than 20 years fell 0.6% and touched its lowest price in the past year.

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