Wall Street Holds Steady as Treasury Yields Weigh on Tech Giants

On a light trading day post-Christmas, Wall Street's main indexes ended largely flat, pressured by rising U.S. Treasury yields impacting major tech stocks. A strong auction of seven-year notes helped ease some yield pressures. Despite minor declines, Apple edged closer to a $4 trillion market valuation.

Wall Street's indexes remained largely unchanged on Thursday as light trading followed the Christmas holiday, with rising U.S. Treasury yields impacting leading technology stocks. Key figures closed with minor fluctuations, reflecting the absence of major market catalysts.

The benchmark 10-year Treasury yield hit its highest since May, reaching 4.64% during the session. However, a strong auction of seven-year notes in the afternoon helped ease yields, leading the 10-year to close at 4.58%. Higher yields traditionally challenge growth stocks by increasing their borrowing costs, affecting technology giants known as the Magnificent Seven.

Among market movements, the S&P 500 slightly lost 2.66 points, while the Nasdaq Composite reduced by 10.74 points. Meanwhile, the Dow Jones inched up by 28.52 points. In the tech sector, Tesla, Amazon, and Meta saw dips, whereas Apple continued its trajectory towards a $4 trillion market cap. As 2024 approaches, the tech sector faces potential cracks in its momentum, as expressed by LPL Financial's Adam Turnquist.

(With inputs from agencies.)