Wall Street Slumps as Bond Yields Rise, Oil Prices Swing

Wall Street's major indexes declined on Friday as bond yields rose and oil prices fluctuated. The S&P 500 dropped by 0.2% in afternoon trading, while the Dow Jones Industrial Average fell by 216 points or 0.4%. The Nasdaq composite also slid by 0.1%.

The increase in bond yields has been a significant factor in the decline of stocks. The yield on the 10-year Treasury climbed to 5.00%, up from 4.94% late Thursday, marking its highest level since 2023. This rise in yields makes borrowing more expensive for individuals and businesses.

Higher oil prices have also contributed to the decline of stocks. Brent crude briefly dropped below $102 per barrel but rebounded to $103.68, down 1.2% from Thursday's close. The price increase has pushed gasoline prices to a high of $4.47 per gallon and diesel prices to a record $6.45 per gallon.

Nucor, a steel maker, reported that it expects an increase in profit from its steel mills business but fell short of analysts' expectations for overall profit in the third quarter. Berkshire Hathaway's stock also declined after Warren Buffett announced he would step down as chairman.