S&P 500 Declines Below 3960 As Energy Stocks Pull Back

S&P 500 Is Hurt by Oil Market Decline

S&P 500 retreated toward the 3940 mark as oil and technology stocks declined. The heavily tech-focused NASDAQ Composite fell 0.6%.

Due to the sharp decline in the price of oil, energy stocks have been among the worst-performing sectors of the S&P 500. In today's trading session, the shares of Diamondback Energy, EOG Resources, and Pioneer Natural Resources all decreased by 3 to 4%.

Today's significant pressure on top mega cap firms like Microsoft, Alphabet, Amazon, and Tesla was negative for the S&P 500. As traders proceeded to modify their holdings in response to the most recent earnings report, NVIDIA was down by 3%.

The yield on 2-year Treasuries managed to rebound beyond 4.50% today as Treasury rates increased. Bond traders listened more intently to Fed's Bullard's hawkish remarks than stock traders did. The S&P 500 will come under further pressure if Treasury yields increase quickly.

It should be emphasized that the current downturn is not significant, and markets like utilities, healthcare, and consumer defensive are rising, indicating that the overall positive attitude is still present.