Dow Tumbles Over 400 Points Amid Rising Oil Prices and Higher Treasury Yields

The US stock market declined for the third consecutive session on Wednesday as oil prices and Treasury yields rose, fueling concerns about inflation and the Federal Reserve's interest-rate path.

The Dow Jones Industrial Average dropped 405.41 points, or 0.77%, to 52,380.66, while the S&P 500 fell 0.48% to 7,636.36 and the Nasdaq Composite declined 0.64% to 26,253.34.

Treasury yields rose after the US Treasury Department announced it would buy back up to $6 billion of longer-dated government debt, tripling the size of its normal operation. The benchmark 10-year Treasury yield climbed to 4.857%, its highest level since November 2023.

The market is awaiting key inflation data later this week, with the Producer Price Index due Thursday and the Consumer Price Index on Friday. Traders are pricing in a roughly 60% chance that the Federal Reserve will raise interest rates at its meeting next week.