Updated
Updated · CNBC · Aug 19
Dow Falls 350 Points as 10-Year Yield Hits 4.696% and Walmart Sinks 8%
Updated
Updated · CNBC · Aug 19

Dow Falls 350 Points as 10-Year Yield Hits 4.696% and Walmart Sinks 8%

3 articles · Updated · CNBC · Aug 19

Summary

  • U.S. stocks closed lower Thursday, with the Dow down 350 points, the S&P 500 off 0.3% and the Nasdaq slipping 0.4%.
  • Treasury yields climbed back after Wednesday’s buyback-driven dip, pushing the 10-year up more than 4 basis points to 4.696% and the 30-year to 5.236% after earlier touching a nearly 20-year high.
  • Walmart dropped 8% after missing U.S. comparable-sales expectations and cutting below-consensus adjusted earnings guidance for the third quarter and full year, adding pressure to the broader market.
  • Oil also weighed on equities: WTI rose 2% above $88 and Brent gained 3% above $94 after Trump threatened a “most crushing economic operation ever” against Iran.
  • The selloff reversed part of Wednesday’s rebound, and former Wells Fargo macro chief Michael Schumacher said long-term rates still look headed higher as U.S. deficits, defense spending and the Iran conflict intensify pressure.

Insights

With a hidden e-commerce boom overshadowed by a stock drop, is Wall Street misjudging Walmart's true potential?
Did a massive debt load just break the bond market despite the Treasury's aggressive buyback intervention?
As geopolitical tensions choke vital shipping lanes, how much higher will oil prices surge before crushing consumer spending?