Bond Yields Fluctuate, Impacting Stock Market Performance
The stock market is giving back its gains as bond yields rise, with the Dow Jones Industrial Average down 9 points, the Nasdaq Composite down 0.6%, and the S&P 500 down 0.2%. Nvidia's better-than-expected earnings initially boosted chip stocks and tech names, but the gains were later reversed. The increase in interest rates, driven by fears of the Federal Reserve keeping rates high to control inflation, is weighing on the stock market, particularly the tech sector. Higher long-dated bond yields make future profits less valuable, impacting the valuations of tech companies.