Major U.S. stock indices traded little changed on Tuesday, following a losing session, as investors tracked Treasury yields. A decline in oil prices eased some of the worry around yields, which remain near multi-decade highs.
The S&P 500 traded just below the flatline on Tuesday, alongside the Nasdaq Composite, while the Dow Jones Industrial Average pulled back 50 points, or 0.1%, as traders watched moves in U.S. Treasury yields.
Treasury yields wobble near multi-decade highs
Meanwhile, the benchmark 10-year Treasury note yield rose 2 basis points to 5.264% on Tuesday, while the 30-year Treasury yield held flat at 5.589%. The 10-year yield is still trading near levels not seen since 2007, and the 30-year is hovering around a 2004 high.
A decline in oil prices eased some of the worry around yields. Brent crude shed more than 1% to trade around $103.97 per barrel, while WTI slid 1.7% to $90.99.
Monday's selloff still weighs on sentiment
The combination of higher oil and yields pressured stocks in the prior session. The Dow fell more than 300 points on Monday. Meanwhile, the S&P 500 and Nasdaq Composite shed 0.8% and 0.9%, respectively.
Still, Mark Haefele, chief investment officer at UBS Global Wealth Management, said investors should stay positioned for further gains in a Tuesday morning note. According to UBS: "investors should stay positioned for further equity gains, with diversification at the center" of their exposure.
Source: CNBC (Stock market today: Live updates)
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