Chip Stocks Rebound as US Stock Indexes Fall Amid Rising Interest Rates

The major US stock indexes fell on Tuesday, despite a recovery in chip stocks from Monday's selloff. The Dow Jones Industrial Average and Nasdaq Composite each dropped by 0.7%, while the S&P 500 declined by 0.4%. Qualcomm rose by 4% and Advanced Micro Devices gained 2.3%.

The 10-year Treasury yield reached a 19-year high of 5.041%, with the 30-year yield setting a similar record at 5.401%. This has implications for borrowing costs, including car loans and corporate debt. Brent crude oil prices rose by 2.6% to $108.41, while US crude added 3.3% to $104.76.

Energy Secretary Chris Wright stated that the East-West oil pipeline shutdown will last days, but oil analyst Andy Lipow estimated it could take months. The damage from Monday's AI-related sell-off largely unwound, with Nvidia and other chip stocks rebounding.