Dow falls nearly 200 points after 10-year Treasury yield rises above 5% for first time since 2007: Live updates

stocks fell on Friday as investors focused on the recent rise in the 10-year Treasury yield.

The Dow Jones Industrial Average lost 188 points or 0.6%. The S&P 500 and Nasdaq Composite indexes lost 1.1% and 1.1%, respectively.5% or

The yield on the benchmark 10-year Treasury note rose above 5% on Thursday for the first time in 16 years, which could impact the economy by increasing interest rates on mortgages, credit cards, auto loans, and more. Not to mention, it offers investors an attractive alternative to stocks.

The 10-year bond yield reached 5.001% around 5 p.m.MET on Thursday, the stock has been above this level since July 2007. It was last trading up 4.929%.

The bond market has garnered disapproval from the stock market, as expressed by David Donabedian, the chief investment officer at CIBC Private Wealth Management. Yields are on the ascent, even in the face of relatively positive inflation updates. This stands as the primary cause behind the challenging circumstances in the stock market.
Regional banks collapsed as rising interest rates raised concerns about the sector’s threat from falling government bonds. Financial regions led the decline after a weak earnings report, which fell more than 10%. The SPDR S&P Regional Banking ETF (KRE) fell nearly 3%.

solar stocks also suffered the biggest decline after SolarEdge cut its third-quarter revenue forecast.

Friday’s decline compounded the entire week’s losses. The S&P 500 fell 2.2% this week and the Nasdaq fell 3.2%. The Dow Jones lost 1.4%.

Nvidia, the widely followed artificial intelligence company, had its worst week since September 2022, with a loss of more than 9%. The company’s shares fell more than 2% in trading on Friday.

Nvidia shares fall, worst week in more than a year

Nvidia shares gave up early gains and fell more than 2% on the day.

The reason for this return was unclear. However, Friday’s decline resulted in a weekly loss of more than 9% for Nidia. This would be Nvidia’s biggest weekly loss since September 2022.

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