Wall Street Weighs Earnings Amidst Market Volatility

Wall Street faced a downturn as investors anticipated earnings reports from 114 major S&P 500 companies, including Tesla and Coca-Cola. Rising Treasury yields added pressure. Boeing gained on wage deal prospects, while Humana and Cigna saw declines amid renewed merger talks. The market also eyed upcoming U.S. elections.

On Monday, Wall Street retreated following a previous week of strong gains as investors turned their focus to earnings reports from major S&P 500 companies. A notable presence of caution was felt as the reports, including from Tesla and Coca-Cola, were seen as critical to determining if the market's record highs could be maintained.

The market also experienced strain from a rise in Treasury yields, with the 10-year bond reaching 4.17%, a 12-week high. Megacap technology stocks like Tesla, Microsoft, and Meta Platforms saw declines. Boeing managed gains due to a potential new wage deal, although Humana and Cigna faced setbacks due to resumed merger discussions.

The broader market, including all 11 major sectors of the S&P 500, largely saw declines, save for a slight uptick in Information Technology. Analysts pointed to underlying economic data and the approaching U.S. presidential election as sources of market unease, which could impact sentiment in the coming weeks.

(With inputs from agencies.)