U.S. stocks struggle to find footing as bond yields continue rise

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U.S. stocks were struggling to stabilize Monday, as investors watch rising Treasury yields.

U.S. stocks were mostly lower Monday, struggling to maintain their footing after a third straight losing week attributed to a surge in bond yields and concerns about China’s economy that have been amplified by worries over the country’s property sector.

What’s driving markets Stock-market bulls were striving to find their footing as Wall Street comes off a three-week losing streak. The tech sector was holding on to gains on Monday, but has led the way lower for stocks in August, off around 7% for the month to date. Rising bond yields can make stocks look less attractive to investors. That can be particularly true for tech stocks, whose lofty valuations are typically based on expected earnings far into the future. The 2023 stock-market rally has been largely led by a small cohort of megacap, tech-oriented shares.

 

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