U.S. stock markets witnessed a decline as Treasury yields continued to rise, impacting key indices. The Dow Jones Industrial Average fell for the third consecutive session, affected by significant drops in major components such as Coca-Cola (KO) and McDonald's (MCD, Financial). Early in the trading session, the Dow dropped over 270 points or 0.6%, the S&P 500 lost 20 points or 0.3%, and the Nasdaq Composite fell 95 points or 0.5%.
McDonald's (MCD, Financial) saw its stock decline by more than 6%, marking it as the steepest loser among the 30 Dow components. This downturn followed a significant outbreak of E. coli infections linked to McDonald's, which resulted in one death and ten hospitalizations. The CDC indicated the outbreak was associated with the four-ounce beef burger.
Boeing (BA) reported a substantial quarterly loss exceeding $6 billion before the market opened, leading to a 1% drop in its stock. Despite Coca-Cola (KO) exceeding earnings expectations for the third quarter, its stock fell over 2%, making it the second-worst performer among the Dow components.
Starbucks (SBUX) experienced a preliminary third-quarter sales decrease and postponed its fourth-quarter earnings guidance, causing a more than 2% drop in its stock. Qualcomm (QCOM) faced a 2% stock decline after British chip designer Arm (ARM) revoked its chip design license; Arm's stock decreased by over 4%.
Tesla (TSLA) edged down by 0.1% as it prepared to release its earnings after the market closed.
