Global Stocks' Slump: A Volatile Year-End for Equities

Global stock markets dropped again as U.S. Treasury yields surged, marking a fourth consecutive daily decline in a year with significant equity gains. The S&P 500 has risen over 23% this year, fueled by growth expectations and AI enthusiasm. Despite a downturn, 2024 will likely end positively.

Global stock markets took a dive on Tuesday, continuing a four-day losing streak as surging U.S. Treasury yields overshadowed a strong year for equities. Despite initial gains, Wall Street ended the day in the red with the tech sector suffering a 1% decrease.

Top performers like Palantir Technologies and Nvidia saw declines as investors locked in profits after considerable annual growth. The benchmark S&P 500 surged over 23% this year, fueled by hopes in artificial intelligence and potential Federal Reserve rate cuts.

Economic concerns, including inflation worries from President-elect Trump's policies, raised U.S. Treasury yields, cooling the market's rally. Analysts warn of continued volatility ahead, while the U.S. dollar's strength remains a factor influencing global markets.

(With inputs from agencies.)