Markets Right Now: Spike in bond yields upends a stock rally
NEW YORK (AP) — The latest on developments in financial markets (all times local):
Stocks gave up an early gain and ended lower on Wall Street as a late afternoon spike in bond yields sent investors heading to the exits.
Bond yields rose Wednesday after the Federal Reserve released minutes from its latest policy meeting which showed bullish sentiment among policymakers. That signaled more interest rate hikes ahead.
The yield on the 10-year Treasury note rose sharply after the minutes came out, touching 2.95 percent, its highest level since January 2014.
Technology stocks, which led the early gains, ended lower. Nvidia lost 3 percent.
The Standard & Poor’s 500 index fell 14 points, or 0.5 percent, to 2,701.
The Dow Jones industrial average fell 166 points, or 0.7 percent, to 24,797. The Nasdaq composite lost 16 points, or 0.2 percent, to 7,218.
Gains in technology, banks and industrial companies are driving stocks higher in midday trading, making up some of the ground the market lost a day earlier.
Facebook was up 2.8 percent Wednesday, JPMorgan Chase rose 1.6 percent and Amazon rose 1.8 percent.
Advance Auto Parts jumped 10.6 percent after reporting better earnings than analysts were expecting. Extra Space Storage climbed 1.7 percent after its results also came in ahead of forecasts.
The Standard & Poor’s 500 index rose 19 points, or 0.7 percent, to 2,735.
The Dow Jones industrial average climbed 145 points, or 0.6 percent, to 25,110. The Nasdaq composite increased 72 points, or 1 percent, to 7,307.
Bond prices fell. The yield on the 10-year Treasury rose to 2.90 percent.
Stocks are opening moderately higher on Wall Street, led by gains in retailers and technology companies.
Amazon rose 1.3 percent in the first few minutes of trading, and Adobe Systems also rose 1.3 percent.
Advance Auto Parts jumped 8.5 percent after reporting better earnings than analysts were expecting. Extra Space Storage climbed 5 percent after its results also came in ahead of forecasts.
The Standard & Poor’s 500 index rose 10 points, or 0.4 percent, to 2,726.
The Dow Jones industrial average climbed 75 points, or 0.3 percent, to 25,037. The Nasdaq composite increased 38 points, or 0.5 percent, to 7,275.
Bond prices didn’t move much. The yield on the 10-year Treasury held steady at 2.89 percent.