NEW YORK, New York – Technology stocks were sold off on Tuesday, while the industrial sector rallied.
Tech stocks are being shunned due to a rise in Treasury yields which is boosting the dollar.
“We have seen a little pressure on tech stocks as long-term government bond yields have rallied for the second day now. That’s weighing on valuations. Zoom earnings didn’t help today, highlighting some of the dynamics in these very high-growth parts of the market that … growth is slowing on the margin,” Angelo Kourkafas, investment strategist at Edward Jones told CNBC Tuesday.
The Nasdaq Composite however trimmed losses in late trade to close down 79.62 points or 0.50 percent at 15,775.14.
The Dow Jones industrials on the other hand rallied hard, rising 194.55 points or 0.55 percent to 35,813.80.
The Standard and Poor’s 500 added 7.76 points or 0.17 percent to 4,690.70.
The U.S. dollar remained well bid against most currencies, but slipped against the commodity bloc.
The euro was weak but steady at 12.150 approaching the New York close Tuesday. The British pound softened to 1.3380. The Japanese yen traded lower at 115.06. The Swiss franc was sharply lower at 0.9335.
The Canadian dollar edged up to 1.26 82. The Australian dollar firmed to 0.7225. The New Zealand dollar added nearly a quarter of a cent to 0.6948.
Overseas, the German Dax dived 1.11 percent. The Paris-based Cac 40 was off 0.85 percent. London’s FTSE 100 gained 0.12 percent.
On Asian markets, the All Ordinaries advanced 53.40 points or 0.69 percent to 7,743.70.
In Tokyo, the Nikkei 225 gained 28.24 points or 0.09 percent to 29,774.11.
China’s Shanghai Composite closed ahead 7.69 points or 0.21 percent to 3,590.00.
The Hang Seng in Hong Kong finished 299.76 points or 1.20 percent lower at 24,651.58.