[New York Stock Market] Falls Amid Surging Oil Prices and Treasury Yields; 'Safe-Haven' Apple Rises 2.5%

[Financial News]  

The three major indexes in the New York stock market began September lower. On September 1, local time, investor sentiment froze as international oil prices jumped more than 4% and government bond yields rose worldwide. Treasury yields are climbing amid concerns over higher oil prices and inflation as the United States and Iran resume fighting.
Tesla fell 3.2% and NVIDIA declined 1.4% on the day. Apple, however, surged 2.5% as its safe-haven appeal gained prominence and investors grew optimistic about its new chief executive officer, John Ternus, who took office that day.

The Dow Jones Industrial Average (DJIA) fell 419.02 points, or 0.79%, from the previous session to close at 52,766.88. The Standard & Poor's 500 Index (S&P 500 Index) dropped 54.67 points, or 0.71%, to finish at 7,631.47.
The technology-heavy NASDAQ Composite fell more than 1%. It slid 271.12 points, or 1.03%, to 26,099.77.
The Chicago Board Options Exchange (Cboe) Volatility Index (VIX), known as Wall Street's fear gauge, soared 1.52 points, or 10.17%, to 16.44.

U.S. Treasury yields continued to rise.
The benchmark 10-year yield jumped 0.034 percentage points to 4.792%. It reached its highest level in one year and eight months, or since January last year.
The 30-year yield, a benchmark for long-term interest rates, rose 0.017 percentage points to 5.266%. The two-year yield, which is sensitive to Federal Reserve System (Fed) interest-rate policy expectations, climbed 0.046 percentage points to 4.396%.
Yields on major countries' government bonds also rose in tandem. Germany's 10-year government bond, or bund, yield increased 0.031 percentage points to 3.369%, while the United Kingdom's 10-year gilt yield rose 0.038 percentage points to 5.628%.
Japan's 10-year yield also climbed 0.016 percentage points to 3.011%.
When government bond yields, which serve as benchmarks for market interest rates, rise, borrowing costs increase for governments, companies, and households worldwide, putting pressure on economic growth.

Apple, which emerged as a safe-haven asset, posted a notable gain amid the unsettled market. Investors flocked to buy Apple as anxiety spread.
Expectations for John Ternus, who took over as CEO that day from Tim Cook, who had led Apple for the past 15 years, also accelerated the stock's rise.
Apple jumped $8.02, or 2.53%, to $324.87 while major big-tech stocks struggled.
Alphabet fell $4.33, or 1.28%, to $335.02, while Tesla plunged $11.86, or 3.22%, to $356.09.
NVIDIA, the market leader, also fell $3.06, or 1.39%, to $217.44.
Microsoft dropped $6.27, or 1.24%, to $501.02, while Palantir Technologies plunged $6.46, or 3.47%, to $179.92 at the close.

Semiconductor stocks turned lower.
Micron Technology fell $25.29, or 2.64%, to $933.44, while SK hynix's American depositary receipt (ADR) dropped $3.80, or 2.31%, to $160.78.
Semiconductor exchange-traded funds (ETFs) also declined.
The iShares Semiconductor ETF (SOXX) fell $12.59, or 2.46%, to $498.45, while the Roundhill Memory ETF (DRAM) plunged $1.78, or 3.13%, to $55.12.

[email protected] Song Kyung-jae Reporter