Stocks Slide as Yields Rise and Oil Prices Climb

The stock market took a hit on Tuesday as investors worried about rising yields and oil prices. The Nasdaq Composite fell 0.56%, the Dow slipped 0.39%, and the S&P 500 dropped 0.35%. The 10-year Treasury yield reached its highest level since January 2025, at around 4.8%.

This was despite a strong performance from Apple, which jumped 3% in its first day under new CEO John Ternus. However, the gains were not enough to lift the broader market. The tech sector as a whole struggled, with software giants Microsoft and Alphabet both falling more than 1%. The rising oil prices are feeding inflation concerns, which in turn are driving up Treasury yields.

The Federal Reserve's hawkish stance is also contributing to the market's woes. Governor Michael Barr said he would support a rate hike if inflation doesn't ease convincingly. This has increased the likelihood of a September rate hike, with traders now putting the odds above 65%.