Wall Street Slips as Tech Stocks Slide Amid Inflation Concerns

Wall Street's main stock indexes fell on Monday, led by the Nasdaq as investors took profit amidst rising Treasury yields and oil prices. Concerns over sustained inflation and elevated borrowing costs contributed to the downturn, with technology and semiconductor stocks experiencing notable declines.

On Monday, Wall Street's primary stock indexes took a downturn, with the Nasdaq Composite leading the decline. Investors, seeking to capitalize on recent gains, were prompted by the increasing Treasury yields and surging oil prices—factors that raised concerns that inflation and borrowing costs may remain high.

The 10-year Treasury yield reached 4.63%, its peak since February 2025, triggering a bond-market selloff. Contributing significantly to this were climbing oil prices, which fueled inflation fears amid stalled efforts to resolve the Iran war. U.S. crude prices rose nearly 1%, despite initial declines following news of a proposed temporary waiver on Iranian oil sanctions. Iranian officials have yet to comment.

The S&P 500 and Nasdaq marked their second consecutive day of losses, pausing a rally ignited in late March. The Dow Jones Industrial Average saw minor fluctuations, while technology and semiconductor sectors notably dipped. Factors like high oil prices, Treasury yields, and profit-taking were reactions from the market, in anticipation of the U.S. Federal Reserve's possible interest rate hike in January.