Read more about Wall Street stumbles on rising Treasury yields, growing inflation worries on Business Standard. The Dow Jones Industrial Average fell 569.38 points, or 1.63%, to 34,299.99
Wall Street stocks ended sharply lower on Tuesday in a broad sell-off driven by rising U. S. Treasury yields, deepening concerns over persistent inflation, and contentious debt ceiling negotiations in Washington. All three major U. S. stock indexes slid nearly 2% or more, with interest rate sensitive tech and tech-adjacent stocks weighing heaviest as investors lost their risk appetite. It was the S&P 500 index’s biggest one-day percentage drop since May, and the Nasdaq’s largest since March. The S&P 500 and the Nasdaq Composite index were on track for their largest monthly declines since September 2020. “The big picture is the sudden surge in the past week of yields, which has led to a ‘sell first, ask questions later’ mentality,” Ryan Detrick, senior market strategist at LPL Financial in Charlotte, North Carolina. “(But) there are multiple factors weighing on sentiment today,” Detrick added. “The back-and-forth in Washington with the debt ceiling and the spending bill and potential higher taxes have weighed on overall investor psyche and has led to a pretty good sized sell-off.
