Market Jitters: U.S. Stocks Slide as Treasury Yields Soar Amid Global Tensions

U.S. stock indexes fell and Treasury yields rose on Monday amid reduced expectations for Federal Reserve rate cuts and uncertainties around the Middle East conflict. The Dow, S&P 500, and Nasdaq saw significant declines, propelled by a stronger-than-expected jobs report and Middle East tensions impacting oil prices.

U.S. stock markets experienced a downturn on Monday, with significant declines in key indexes as Treasury yields surged. The shift followed reduced bets for Federal Reserve interest rate cuts and growing concerns surrounding the Middle East conflict.

Heightened anxiety about geopolitical instability led to increased volatility. Due to a robust jobs report, traders adjusted their expectations, inversely affecting Treasury yields. With the Federal Reserve meeting and CPI inflation data upcoming, investors are bracing for continued fluctuations.

Middle East unrest, including Hezbollah's actions and fears of escalating tensions, further pressured oil prices. Despite overall market drops, the energy sector saw gains. Major losses were recorded in utilities and Amazon's stock, which faced setbacks following a downgrade.

(With inputs from agencies.)