Market Mavericks: Stocks Tumble on Interest Rate Uncertainty

U.S. stocks fell on Monday as bond yields climbed, influenced by optimistic payroll figures hinting at prolonged Federal Reserve rate hikes. The S&P 500 hit a two-month low, while technology stocks suffered significant losses. Meanwhile, health insurers gained following a government proposal on Medicare rates.

U.S. stocks experienced a downturn on Monday, with the S&P 500 reaching a new two-month low amidst rising bond yields, fueled by positive payroll data that renew investor concerns over the Federal Reserve's interest rate approach for the year.

Technology stocks were the hardest hit, with major players like Tesla and Apple suffering declines amidst fears of inflation and potential policy shifts under the upcoming Trump administration. Health insurers, however, saw gains after a proposed government revision for Medicare reimbursements.

The Nasdaq Composite also saw significant drops, and the broader market reflected these tensions as declining issues outpaced advancers. Analysts suggest long-term policy strategies could further sway market outcomes.

(With inputs from agencies.)