Stocks were mostly lower on Tuesday, with technology stocks leading the way lower as investors digested commentary from Treasury Secretary Janet Yellen around the possibility of higher interest rates.

[Click here to read what’s moving markets heading into Wednesday, May 5]

The S&P 500 pared losses after dropping more than 1% at session lows, with the index trading off its all-time highs. The Dow turned slightly positive by market close. The Nasdaq underperformed, dropping 1.9% in its worst session since March as technology and growth shares added to losses. 

Stocks took a leg lower after Yellen said Tuesday morning she thought interest rates in the U.S. might need to rise in order to prevent an economic overheating during the recovery out of the pandemic. Rising rates would weigh on valuations of growth companies, and many investors have been concerned an easing of monetary policy could crimp the stock market’s recent run-up to…

Read more…

Share.

Comments are closed.