Wall Street stocks slide as Treasury yields surge

Wall Street stocks slide as Treasury yields surge

That paves the way for higher borrowing costs on mortgages and other loans. The prospect of higher interest rates weighed on homebuilders, while the pickup in bond yields sent shares in high-dividend paying stocks lower. The S&P 500 index fell 0.7 percent to 2,711.45. The Nasdaq composite dropped 0.8 percent to 7,351.63 and the Russell 2000 index of smaller-company stocks finished flat at 1,600.34.

The Dow is up 180.19 points, or 0.7 percent.

The S&P 500 is up 56.52 points, or 2.1 percent.

Canada's main stock index reversed course to edge higher on Tuesday, as gains in industrial stocks led by Air Canada more than offset a drop in miners due to declining gold prices. Bond yields tend to rise when investors expect faster economic growth and higher inflation.

In Asia, shares declined on Wednesday in morning session after North Korea pulled out of high-level talks with Seoul and as US Treasury yields rose to the highest level in seven years overnight.

All three major USA stock indexes closed down, with the S&P 500 ending a four-day winning streak and the Dow Jones Industrial Average posting its first loss in eight sessions. Treasuries were a key factor for the market Tuesday as investors watched 10-year Treasury yields climb to 3.08%.

Bond prices fell, sending yields higher, after the government reported a solid increase in retail sales last month.

U.S. retail sales increased at a moderate 0.3 per cent in April as rising gasoline prices took a bite out of discretionary spending, according to the U.S. Commerce Department.

Gains in health care and energy stocks outweighed losses in real estate companies and other sectors. The Nasdaq composite fell 60 points, or 0.8 percent, to 7,349.

The Canadian dollar hit a near one-week low against its US counterpart as the greenback broadly rose and investors weighed prospects of a deadline being met for a new North American Free Trade Agreement between Canada, the United States and Mexico.

WALL STREET: Losses in technology and health care companies helped pull US stocks lower Tuesday, snapping an eight-day winning streak by the Dow Jones industrial average.The broad sell-off followed a slide in bond prices, which sent the 10-year Treasury yield to its highest level in nearly seven years, paving the way for higher borrowing costs on mortgages and other loans. That yield is used to set interest rates on mortgages and other kinds of loans.

The Dow Jones industrial average lost 162 points, or 0.6 percent, to 24,739.

Related Articles

  • Suns win draft lottery, right to pick No. 1 next month

    Suns win draft lottery, right to pick No. 1 next month

    The 2018 National Basketball Association draft will be held on Thursday, June 21 at the Barclays Center in Brooklyn, New York. Kokoskov coached global prospect and consensus top three pick, Luka Doncic , overseas and could try to reunite in the desert.
    Buildings being dismantled at NK nuke test site

    Buildings being dismantled at NK nuke test site

    South Korea has said Kim has genuine interest in dealing away his nuclear weapons in return for economic benefits. But there are lingering doubts about whether Kim will ever agree to fully relinquish his nukes.
    Lost Asteroid 2010 WC9 to come close to Earth on May 15

    Lost Asteroid 2010 WC9 to come close to Earth on May 15

    On May 8, 2018 - nearly eight years later - astronomers discovered an asteroid and gave it the temporary designation ZJ99C60. While the asteroid will be fairly close to Earth, the 200-400-foot rock won't be close enough to be seen by the naked eye.
  • Salma Hayek: Male actors may need to take pay cuts

    Salma Hayek: Male actors may need to take pay cuts

    The gender pay gap, however, will take far longer to close, Hayek said. "I can't find enough female writers and directors", Hayek said .
    CIA nominee regrets agency undertook harsh interrogation

    CIA nominee regrets agency undertook harsh interrogation

    Haspel defended the work of the Central Intelligence Agency at the time and said the interrogation program was deemed legal then. Haspel's involvement in torture is deeply troubling, as my friend and colleague, John McCain , so eloquently reminded us".

    Gas prices rise as motorists make Memorial Day plans

    The cartel's projected demand growth for 2018 is now 1.65 million barrels a day, also up by 20,000 since last month's report. The prospect of a drawdown in crude stocks should be supportive for prices along with the tight global supply situation.
  • Five killed in Indonesia police station attack

    Five killed in Indonesia police station attack

    The report said that the men had driven their vehicle into the police yard before getting out to stage the attack. They followed a deadly prison riot staged by Islamist prisoners at a high-security jail near Jakarta last week.
    Bahrain, Saudi say Ramadan will begin on Thursday

    Bahrain, Saudi say Ramadan will begin on Thursday

    Traditionally, countries announce if their moon-sighting council spots the Ramadan crescent the evening before fasting begins. There are a total of around 470 hours of actual fasting (almost 20 full days) in daylight hours during Ramadan 2018.
    Cambridge Analytica Breach Appears Inconsequential To Brands

    Cambridge Analytica Breach Appears Inconsequential To Brands

    In Facebook note that if the application had abused the use of personal information, they will be completely blocked, and people will get a notification.
  • N Korea cancels talks with South Korea and warns US

    N Korea cancels talks with South Korea and warns US

    In return, the USA would aid the North Korean economy by lifting sanctions and allowing private capital to flow into the country. North Korea would then become, a "nuclear power wrapped around paper called 'denuclearization, '" concluded Thae.
    'Gotham' Renewed for Fifth and Final Season at Fox

    'Gotham' Renewed for Fifth and Final Season at Fox

    It's likely the final season of the show will have smaller episode order, expect something around 13 to close out the series. The DC Comics-inspired drama series will be back for a fifth season.
    Three families behind ISIS-inspired bombings in Indonesia's Surabaya

    Three families behind ISIS-inspired bombings in Indonesia's Surabaya

    Earlier on Tuesday, police searched the home of the family that bombed Surabaya's police headquarters and found unexploded bombs. Television footage appeared to show a person on a motorcycle driving into the grounds of a church before a bomb was detonated.