The Dow, S&P 500 and Nasdaq all closed lower on Wednesday after long-dated Treasury yields resumed their climb. Reuters said the 30-year yield reached its highest since 2002.
Wall Street closed lower on Wednesday as long-dated US Treasury yields resumed their climb, a day after the S&P 500 and the Nasdaq had set record closing highs, Reuters reported from New York.
The Dow Jones Industrial Average fell 341.11 points, or 0.66 percent, to 51,180.17. The S&P 500 lost 17.18 points, or 0.22 percent, to 7,801.75. The Nasdaq Composite lost 61.19 points, or 0.22 percent, to 27,538.69. The S&P 500 and the Dow snapped four-day winning streaks.
Reuters said the 30-year Treasury yield hit a 24-year high, its highest since 2002. The move revived concern about inflation and the stock of public debt. SpaceX shares fell after reports that the company was seeking about $40 billion to buy Nvidia chips, the same dispatch said.
Investors were also waiting on minutes from the Federal Reserve's September meeting. A separate Reuters preview said Chair Kevin Warsh had described that meeting's rate increase as the removal of a dose of accommodation, and that the minutes were expected to show a wider debate than the unanimous vote.
Wednesday's close is a market reaction, not a new policy decision. The October 27-28 Fed meeting was still ahead in the accounts used here.
People Sentiments Negative
- Reuters described the yield climb as reviving fears about inflation and mounting debt.