US Stocks Slide as Bond Yields Reach Nearly Two Decade Highs

US stocks suffered losses on Monday as bond yields rose to their highest levels in nearly two decades, pressuring investors and driving up borrowing costs. The S&P 500 index fell by 0.8% and erased much of its gains from the previous week, when it reached a record high.

The Dow Jones Industrial Average dropped 347 points, or 0.7%, while the Nasdaq composite sank 0.9%. Treasury yields rose as investors worry about inflation and the country's massive debt load. The 10-year Treasury yield briefly topped 5.27% before pulling back to 5.23%, its highest level since 2007.

Oil prices also contributed to the market downturn, with Brent crude rising above $101 per barrel before settling at $97.83. Higher oil prices have worsened inflation and driven up fuel costs, with the average price for a gallon of regular gasoline reaching nearly $4.48.