Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Wall Street Opens Lower as Bond Yields Continue to Squeeze Tech; Dow Down 30 Pts

Stock MarketsMar 30, 2021 09:41AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Geoffrey Smith 

Investing.com -- U.S. stock markets opened lower on Tuesday, as bond yields continued to exert pressure on tech stocks, while cautionary messaging from U.S. health authorities kept a temporary chill on reopening trades. 

By 9:35 AM ET (1435 GMT), the Dow Jones Industrial Average was down 30 points, or 0.1%, at 33,141 points, while the S&P 500 was down 0.3% and the tech-heavy Nasdaq Composite was down 0.7%.

With the data and earnings calendars light, attention is largely on the launch of investment guru Cathie Wood's new space-themed exchange-traded fund, the first launched by Wood's company in two years. The fund's largest holding, Trimble (NASDAQ:TRMB) stock, enjoyed its moment in the spotlight, rising 3.1% to a new all-time high. However, Virgin Galactic (NYSE:SPCE), which has a weighting of just under 2% in the ETF, was less fortunate, falling 0.6%.

Gainers were led by the stocks dumped so aggressively at the end of last week by the banks servicing Archegos Capital Management, the family office of former hedge fund manager and convicted fraudster Bill Hwang. The rises were largely unspectacular, but appeared to suggest that the forced selling by Archegos' banks was over.

Vipshop (NYSE:VIPS) stock rose 7.6%, while GSX Techedu  (NYSE:GSX) stock rose 3.6% and Discovery A (NASDAQ:DISCA) shares rose 3.8%. ViacomCBS Inc (NASDAQ:VIAC) stock also eked out gains of 1.5%.

The market largely shrugged off news from the Federal Housing Finance Agency and Standard & Poor's that house prices rose at their fastest rate in at least seven years in February, given that the rise in mortgage rates since the start of the year seems likely to put a brake on that development soon. Lennar (NYSE:LEN) stock fell 0.9% while Zillow (NASDAQ:ZG) stock, which is down some 40% from its February peak, rose 0.4%.

Treasury yields have consolidated just below their highs for the year over the last 24 hours, with the market bracing for President Joe Biden's announcement on infrastructure spending on Wednesday. The rising trend in bond yields has been supportive of banking stocks for most of this year, and that was true again on Tuesday, with JPMorgan  (NYSE:JPM), Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS), Bank of America Corp (NYSE:BAC) and Citigroup (NYSE:C) all rising by between 1.9% and 2.6%. Goldman and Morgan Stanley were helped by reports that they had managed to dump their Archegos-related stocks before Nomura and Credit Suisse (SIX:CSGN), thus limiting their losses. By contrast, Credit Suisse  (NYSE:CS) ADRs fell another 3.8%. 

Wall Street Opens Lower as Bond Yields Continue to Squeeze Tech; Dow Down 30 Pts
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (2)
Kaveh Sun
Kaveh Sun Mar 30, 2021 10:51AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Full of #, bond yields has been going up since 3/24. If that is the reason, the market should go down since 3/24 too
Mitchel Pioneer
Mitchel Pioneer Mar 30, 2021 10:04AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Flagrant intervention in losses once again in the US Ponzi Scheme, greatest investment fraud in history.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email