US STOCKS-Growth stocks push Nasdaq, S&P 500 lower as rising yields weigh
(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)
* Technology-related companies resume slide
* Discovery (JO: DSBPp ) rises on strong paid streaming subscribers forecast
* Indexes: S&P down 0.55%, Nasdaq falls 1.69%, Dow up 0.09% (Adds comments, updates prices to early afternoon)
By Devik Jain and Shreyashi Sanyal
Feb 22 (Reuters) - The S&P 500 and Nasdaq indexes came under pressure on Monday as climbing Treasury yields and prospects of rising inflation triggered valuation concerns, hitting shares of high-flying growth companies.
Federal Reserve Chair Jerome Powell is scheduled to speak before the Senate Banking Committee on Tuesday, and investors are expected to look for any potential changes to the central bank's dovish outlook in recent months. of Apple Inc AAPL.O , Microsoft Corp MSFT.O , Facebook Inc FB.O , Alphabet Inc GOOGL.O , Tesla Inc TSLA.O , Netflix Inc NFLX.O and Amazon.com Inc AMZN.O resumed their slide from the previous week, falling between 0.7% and 5%.
A largely upbeat fourth-quarter earnings had powered Wall Street's main indexes to record highs earlier last week, but the rally lost steam on fears of a potential snag in countrywide inoculation efforts and inflation concerns rising from a raft of stimulus measures.
"There's little new money going into the market. It is like everyone has bought in and, at some point, there's an exhaustion of buyers and the market tends to come down a little bit," said David Keller, chief market strategist at StockCharts.com.
"The market is recognizing the general euphoric sentiment conditions that we've had."
The benchmark 10-year yield US10YT=RR was little changed on Monday but had been as high as 1.394% overnight, the highest since Feb 2020. US/
The S&P 500 .SPX was down 21.41 points, or 0.55%, at 3,885.30, on track for a five-day losing, its worst in one year.
Value stocks .IVX have outperformed growth shares .IGX in February, with investors betting on a rebound in industrial activity and a pick up in consumer demand as countries roll out vaccines to tame the pandemic.
The S&P 500 industrials .SPLRCI and financial sector .SPSY rose 1.0% each, while energy stocks .SPNY surged 4.3% on higher oil prices. O/R
At 12:04 p.m. ET, the Nasdaq Composite .IXIC was down 234.03 points, or 1.69%, at 13,640.44, while the Dow Jones Industrial Average .DJI was up 29.43 points, or 0.09%, at 31,523.75, with Walt Disney (NYSE: DIS ) Co DIS.N boosting the blue-chip index.
Discovery Inc DISCA.O jumped 9.2% after the media company said it was expecting 12 million global paid streaming subscribers by the end of February, as coronavirus-led restrictions kept people at home. Corp KSS.N gained 9.4% after a group of activist investors nominated nine directors to the department store chain's board. Financial Group Inc PFG.O added 8.9% after a media report that activist investor Elliott Management Corp had taken a stake in the life insurance company and planned to push for changes. issues outnumbered decliners by a 1.01-to-1 ratio on the NYSE. Declining issues outnumbered advancers for a 1.18-to-1 ratio on the Nasdaq.
The S&P index recorded 59 new 52-week highs and no new low, while the Nasdaq recorded 218 new highs and seven new low.
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