U.S. stock markets are showing signs of cooling after years of steady gains fueled by AI-driven growth, as rising bond yields weigh on investor sentiment. The S&P 500 has retreated nearly 90 points since early October, reversing a prolonged upward trend that saw only brief interruptions between late March and mid-August. The Nasdaq composite has also declined, reflecting broader market adjustments amid shifting economic conditions. Investors may be reassessing valuations as higher borrowing costs reshape expectations for long-term growth.
Bond yields in the U.S. have risen this year, slowing down a stock market that has risen for years on the back of the AI build-out. After consistently rising, with a few exceptions, from late March through mid-August, the S&P 500 is down nearly 90 points from Oct. 7. The Nasdaq composite, meanwhile, is down...
