Higher Treasury yields make the more expensive areas of the market, including technology stocks, less attractive, which may explain why there was more selling in stocks toward the end of the day as the bond market shifted.
“Growth areas of (the stock) market do not like higher bond yields,” said Willie Delwiche, investment strategist at All Star Charts. “Energy and financials, however, loved them.”
The S&P 500 fell 15.02 points to 4,682.94. The Dow gained 17.27 points to 35,619.25. The tech-heavy Nasdaq gave up 202.68 points to 15,854.76.
Small company stocks also fell. The Russell 2000 index dropped 11.81 points, or 0.5%, to 2,331.35.