Inflation Bets Push Yields Higher, Pressuring SPY and QQQ

U.S. equities faced selling pressure as long‑term yields rose on elevated inflation expectations, with SPY and QQQ finishing lower as the 30‑year yield hit 5.17% and the 10‑year climbed to 4.66%. Rate‑cut odds for 2026 dropped to about 0.6%. A Bank of America survey showed 66% of fund managers expect the 30‑year yield to exceed 6% over the next year, reinforcing the negative impact of higher yields on equities by raising discount rates. Nvidia is set to report after the close, Alphabet slipped despite Google I/O updates, and analysts lifted price targets on Micron and SanDisk.