Technology companies led a broad slide in stocks on Wall Street Tuesday as investors reacted to a surge in U.S. government bond yields.
The benchmark S&P 500 index had its worst drop since May, and the tech-heavy Nasdaq had its worst drop since March. The main action was again in the bond market, where a swift rise in Treasury yields is forcing investors to reassess whether prices have run too high for stocks, particularly the most popular ones. The yield on the 10-year Treasury note jumped to its highest level since late June.
The S&P 500 fell 90.48 points, or 2%, to 4,352.63.
The Dow Jones Industrial Average fell 569.38 points, or 1.6%, to 34,299.99.
The Nasdaq fell 423.29 points, or 2.8%, to 14,546.68.
The Russell 2000 index of smaller companies fell 51.23 points, or 2.2%, to 2,229.78.
For the week:
The S&P 500 is down 102.85 points, or 2.3%.
The Dow is down 498.01 points, or 1.4%.
The Nasdaq is down 501.02 points, or 3.3%.
The Russell 2000 is down 18.30 points, or 0.8%.
For the year:
The S&P 500 is up 596.56 points, or 15.9%.
The Dow is up 3,693.51 points, or 12.1%.
The Nasdaq is up 1,658.40 points, or 12.9.
The Russell 2000 is up 254.92 points, or 12.9%.