Market Volatility as Treasury Yields Top 4.25%

Stock markets have experienced volatility with the S&P 500 and Dow Jones Industrial Average facing declines due to rising Treasury yields, which have topped 4.25%. This increase in yields is attributed to stronger economic data and fiscal concerns, impacting investor sentiment. Tesla's shares soared 11% after exceeding profit expectations, while GM shares also rose significantly following better-than-expected earnings. Conversely, IBM and McDonald's experienced declines due to missed revenue expectations and an E. coli outbreak, respectively. Analysts suggest that despite recent sell-offs, the market may stabilize post the U.S. presidential election. The dollar index has reached a 2.5-month high amid higher bond yields and strong manufacturing data.