XLY - US Stocks Resume Declines As Treasury Yields Kick Higher Chipmakers Extend Downside: What's Driving Markets Tuesday? | Benzinga
Tuesday sees a risk-averse sentiment prevailing in the equity markets, with every sector on Wall Street showing losses as investors await Wednesday’s FOMC meeting.
As the Federal Reserve is widely expected to maintain current interest rates, there is growing concern about the possibility of more hawkish remarks regarding the future. This concern arises from renewed inflationary pressures driven by a rapid surge in oil prices.
WTI crude oil held steady at $91 per barrel after briefly reaching $92.25 during early European trading hours.
In the meantime, Treasury yields continue to rise, with the 10-year benchmark surging to 4.34%, reaching its highest level since October 2007.
Cues From Tuesday’s Trading:
The S&P 500 fell 0.8%, while both the Nasdaq 100 and the Dow Jones Industrial Average slipped 0.9%.
Surprisingly, small caps fared relatively better in a risk-off day, with the Russell 2000 index down 0.6%.
US Index Performance On Tuesday
Index Performance (+/-) Value
Nasdaq 100 -0.85% 15,096.95
S&P 500 Index -0.76% 4,419.89
Dow Industrials -0.85% 34,330.75
Russell 2000 -0.57% 1,823.93
Tuesday’s Trading In Major US Equity ...