Wall Street sinks as US stocks fall toward their worst day in a month
By STAN CHOE, AP Business Writer
NEW YORK (AP) — 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.
Big Tech companies led the market lower. They’ve been soaring for years on expectations that they’ll continue to dominate the economy, but they also shot so high that critics say their prices became too expensive.
Nvidia, whose chips are powering much of the world’s move into artificial-intelligence technology, fell 2.9% and was the single strongest force pulling the S&P 500 downward. Amazon sank 1.7%, and Alphabet dropped 1.5%.
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.