Stocks fell on Wednesday as a sharp rise in interest rates has pushed investors to the sidelines.
The Dow Jones Industrial Average collapsed 259.16 points, or 1%, to begin the day at 26,171.41, as Intel and Nike lagged.
The S&P 500 let go of 32.86 points, or 1.1%, to 2,848.48, with the tech and industrials sectors underperforming. The broad index was also headed for a five-day losing streak and fell below its 50-day moving average, a widely followed technical level.
The NASDAQ hurtled earthward 140.97 points, or 1.8%, to 7,597.05
Bank shares traded higher as yields rose. Citigroup acquired 0.3% and Bank of America gained 0.3%. Wells Fargo also rose about 0.5%.
The recent rise in rates comes ahead of the start of the latest earnings season. Banks like Citigroup and Wells Fargo are scheduled to report later this week. Overall, analysts polled by FactSet expect third-quarter earnings to have risen by 19% on a year-over-year basis.
Prices for the benchmark for the 10-year U.S.Treasury gained a bit of ground, lowering yields to 3.22% from Tuesday’s 3.20%. Treasury prices and yields move in opposite directions.
Oil prices surrendered 58 cents at $74.38U.S. a barrel.
Gold prices lost a dollar to $1,190.50U.S. an ounce.
This article provided by NewsEdge.