By Riri in finance — Oct 24, 2024

"Market Update: S&P 500 and Dow Jones Drop for Third Day in a Row – Key Insights and Trends"

Today's Market: S&P 500 and Dow Plunge for Third Consecutive Day

Source: Yahoo Finance

The Dow Jones Industrial Average dropped 292 points (0.7%) for the third consecutive day, influenced by high Treasury yields and ongoing elevated interest rates.
The S&P 500 and Nasdaq Composite declined by 0.6% and 1%, respectively, extending their downward trajectory.

On Wednesday, the benchmark 10-year Treasury note yield surpassed 4.25%, marking the highest level since July.
This increase is attributed to robust economic data and growing concerns regarding the national deficit, overshadowing recent Federal Reserve rate cuts.
The market's expectations of future Federal Reserve actions regarding interest rate cuts are being reevaluated, with many investors worried about the implications of sustained high rates.

Brent Schutte, Chief Investment Officer at Northwestern Mutual Wealth Management, emphasized that the market is contending with the compounding effects of higher rates.
Both Coca-Cola and Tesla stocks fell by approximately 2% and 1%, respectively, amid a volatile trading environment as investors brace for Tesla's impending earnings report.
Current market conditions highlight potential recession risks and adjustments needed in segments dominated by large-cap stocks.