Oil Price Surge Trumps Strong Earnings as Global Stocks Slip

Global stocks slipped on Tuesday as concerns about rising oil prices offset the boost from strong earnings. The S&P 500 fell 0.5% and is on track for a third straight modest loss since setting its all-time high on Thursday.

The Dow Jones Industrial Average dropped 131 points, or 0.2%, while the Nasdaq composite was 1.1% lower. AI stocks led the decline, with Micron Technology plummeting 3.5%. Nvidia and Broadcom also fell, despite their recent price swings.

The bond market is a significant contributor to the pressure on yields, which have been rising since the war began. The yield on the 10-year U.S. Treasury held at 4.72%, while the 30-year Treasury yield was near its highest level since 2007.

Oil prices are driving the increase in yields, with a barrel of Brent crude rising to US$91.45. This uncertainty has investors less willing to pay high prices for stocks and other investments.