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U.S. stocks wobble as Treasury yields rise; Lyft tumbles

Published 02/10/2023, 09:48 AM
Updated 02/10/2023, 11:18 AM
© Reuters.
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By Liz Moyer 

Investing.com -- U.S. stocks were wobbling on Friday, with the major indexes on pace to close out the week on a downtrend.

At 11:14 ET (16:14 GMT), the Dow Jones Industrial Average was up 58 points or 0.2%, while the S&P 500 was down 0.1%, and the NASDAQ Composite was down 0.7%.

Growth stocks were under pressure from rising yields on U.S. Treasuries. The yield on the benchmark 10-year Treasury was at its highest in more than one month.

The S&P is on track to snap a two-week winning streak, while the Dow and Nasdaq are also on pace to close lower for the week. Growth stocks, in particular, have been on an upswing so far this year on hopes the Federal Reserve was nearing the end of its interest rate hikes.

Investors are expecting the Fed to raise rates by another quarter of a percentage point at its March meeting. Several Fed officials have said they see more rate increases this year, and interest rates could stay higher for longer.

Shares of LYFT, Inc. (NASDAQ:LYFT) tumbled 35% as it cut prices and said seasonal factors would weigh on results in the current quarter. Investors worried it was falling behind its bigger ride-hailing rival Uber Technologies (NYSE:UBER).

Shares of Rubbermaid maker Newell Brands Inc. (NASDAQ:NWL) fell 3% on a lower-than-expected forecast.

The University of Michigan's preliminary reading of consumer sentiment for February was stronger than expected. The reading was 66.4, while analysts expect it to tick up to 65 from 64.9.

Oil rose. Crude Oil WTI Futures are up 2.3% to $79.89 a barrel, while Brent Oil Futures crude rose 2.4% to $86.50 a barrel. Gold Futures are down 0.4% $1,871.

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