S&P 500 Falls Third Consecutive Day Amid Oracle Decline and Rising Yields

The S&P 500, Nasdaq, and Dow Jones Industrial Average experienced a third consecutive day of declines, marking the longest losing streak in over a month for the S&P 500. This downturn was driven by a significant sell-off in technology stocks, including Oracle, which fell 5% amid skepticism about its AI-driven growth projections and a Rothschild & Co. sell rating, as well as Tesla, which dropped 3-4.4%. Rising yields, with the 10-year Treasury yield reaching 4.2%, and strong economic data indicating a resilient U.S. economy complicated expectations for further Federal Reserve interest rate cuts, contributing to market volatility. The market's vulnerability is heightened by concerns over inflation, mixed signals from Fed policymakers, and the potential for a government shutdown disrupting key data releases. Despite broad sector declines, energy stocks and companies like Intel and Opendoor Technologies showed some resilience, while others such as CarMax and Cipher Mining faced sharp losses. Investors remain cautious as they balance hopes for a delicate economic slowdown that would prompt rate cuts without triggering a recession.