"Wall Street is sinking on Tuesday as rising pressure from the bond market pulls U.S. stocks further from their records. The S&P 500 fell 1.1% and was on track for its worst day in a month. The Dow Jones Industrial Average was down 412 points, or 0.9%, as of 2:30 p.m. Eastern time, and the Nasdaq composite was 1.3% lower. All three are still relatively close to their recently set all-time highs."
"The overall stock market felt pressure from rising yields in the bond market, where the 10-year Treasury yield climbed to 4.27% from 4.23% late Friday. When bonds are paying more in interest, investors are less willing to pay high prices for stocks. Longer-term bond yields are on the rise around the world, in part because of worries about how difficult it will be for governments to repay their growing mountains of debt."
"In the United States, longer-term Treasury yields are feeling added pressure from President Donald Trump's attacks on the Federal Reserve for not cutting interest rates sooner. The fear is that a less independent Fed will be less likely to make the unpopular decisions needed to keep inflation under control over the long term, such as keeping short-term rates higher than investors would like."
U.S. stocks fell as rising long-term bond yields and Big Tech declines pushed major indexes away from recent records. The S&P 500 dropped 1.1%, the Dow fell about 412 points (0.9%), and the Nasdaq declined 1.3%, though all remained near all-time highs. Nvidia, Amazon, and Alphabet were notable decliners. The 10-year Treasury yield rose to 4.27%, making stocks less attractive relative to bonds. Global longer-term yields increased amid worries over government debt. Political pressure on the Federal Reserve and legal questions about sweeping tariffs contributed to market uncertainty.
Read at Fortune
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