The S&P 500 Index ($SPX) (SPY) closed down by -0.75% on Wednesday, the Dow Jones Industrial Average ($DOWI) (DIA) closed down by -0.68%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -0.85%. December E-mini S&P futures (ESZ26) fell -0.76%, and December E-mini Nasdaq futures (NQZ26) fell -0.87%.
Stock indexes settled lower on Wednesday, pressured by soaring bond yields. Crude prices rose by more than +1% on Wednesday, boosting inflation expectations, lifting bond yields and undercutting market sentiment. The 10-year T-note yield jumped to a 19-year high of 5.13% on Wednesday and raised the odds of a Fed rate hike at next month’s FOMC meeting to 69% from 53% on Tuesday. Chipmakers and AI-infrastructure stocks also slid on Wednesday, weighing on the broader market and giving back some of Tuesday’s gains that pushed the Nasdaq 100 to a new record high.
