Stocks still in bonds' grip
SPY•US and world stocks fell for a second day as elevated bond yields and inflation jitters pressured markets; the S&P 500 slipped 0.2%, while the US 30-year yield reached 5.62%, its highest since 2002.
1. Markets slip
The Nasdaq fell 0.1%, the S&P 500 lost 0.2% and the Dow declined 0.3%. Oil prices dropped 2.5%, tempering bearish sentiment, while the US 30-year yield rose to 5.62%, its highest since 2002.
2. AI financing concerns
Bonds issued to fund data center construction came under heavy pressure. Anthropic’s prospective IPO documents showed revenue grew 12-fold last year, while operating losses exceeded $8 billion and net losses topped $40 billion.
3. Economic outlook
US consumer confidence fell to its lowest level since 2014, though spending had held up, supported by wealthy consumers. The article also cited upcoming US PCE inflation and GDP figures as potential market movers.
