Wall Street Selloff Gains Steam on Rate Hike Threat - InvestingChannel

Wall Street Selloff Gains Steam on Rate Hike Threat

Stocks fell Tuesday as traders kept an eye on rising Treasury yields, which hit a 16-year high.

The Dow Jones Industrials descended 421.08 points, or 1.3%, to regroup Tuesday at 33,012.27.

The S&P 500 index sagged 63.16 points, or 1.5%, to 4,226.96.

The NASDAQ index stumbled 233.12 points, or 1.8%, to 13,074.65.

Stocks moved to their lows of the session as yields spiked further following the release of the August job openings survey, which signaled a still tight jobs market. The survey showed 9.6 million open roles in the month. Meanwhile, economists polled by Dow Jones had anticipated 8.8 million jobs.

The S&P 500 fell to its lowest level since the start of June. Veralto and spice manufacturer McCormick & Company led the broad market index’s losses on Tuesday, with both stocks down 9% and more. Cruise company Carnival declined by 6.3%, followed by Airbnb and Viatris both down more than 5%.

Investors are hoping to turn the page on a disappointing September for stocks. All three major indexes closed the month and the third quarter lower. The S&P 500 alone lost nearly 5% in September.

That means key economic reports — such as last month’s payroll reports, due Friday — and the kickoff of earnings reporting season next week are back in focus.

Prices for the 10-year Treasury swooned, hiking yields to 4.79% from Monday’s 4.69%. Treasury prices and yields move in opposite directions.

Oil prices regained $1.10 to $89.92 U.S. a barrel.

Gold prices faded eight dollars to $1,839.20.

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