US stock indices closed higher on Thursday as bond yields halted their recent surge, supporting credit-sensitive sectors. The S&P 500 rose 1.1%, the Dow gained 624 points, and the Nasdaq advanced 1.2%. Fed Governor Waller signaled that a rate hike would not be warranted if underlying inflation continues to slow, marking a shift from earlier remarks highlighting inflation risks. Treasury yields subsequently eased. Credit-sensitive software stocks advanced, with Microsoft up 2.7%, Meta rising 3%, Oracle jumping 5.7%, and Palantir soaring 7.7%. Chipmakers were mixed, with Nvidia and Intel gaining 1.8% each, while Broadcom fell 2.7% despite reporting 221% annual revenue growth in its latest fiscal quarter. Hewlett Packard Enterprise added 5% despite results falling short of expectations. Gains among financial heavyweights also supported the Dow, with JPMorgan up 1.6%, Goldman Sachs gaining 3.3%, and Morgan Stanley adding 2.5%.