Interest rates weighed on Wall Street

The US stock market fell on Tuesday, as a sell-off in chip stocks, high bond yields and rising oil prices weighed on market sentiment.

The S&P 500 fell for the third day in a row. Investors assess inflationary pressures, the state’s indebtedness and stalled negotiations between the United States and Iran over control of the Strait of Hormuz.

The S&P 500, which broadly tracks large companies, fell 0.7 percent. The technology-focused Nasdaq weakened by 1.3 percent. The flagship Dow Jones index fell 0.2 percent.

Chip stocks were the clearest decliners of the day. The index following semiconductor companies fell five percent. About chip companies Western Digital decreased by seven percent, Sandisk nine percent, Marvell Technology nine percent and Seagate Technology eight percent.

In the interest rate market, long-term interest rates remained the focus of investors. The interest rate on the US 30-year government bond rose to a recent 19-year high. The interest rate on the US 10-year government bond was 4.71 percent.

The rise in interest rates has been fueled by concerns about stubborn inflation, high oil prices, government indebtedness and the financing needs of the artificial intelligence boom.

Oil prices rose slightly as hopes for a resolution to the Middle East conflict faded. US WTI crude oil cost $85 per barrel and Brent quality $91 per barrel.

Network equipment manufacturer on the New York Stock Exchange Nokian depository receipt, or ADR, fell 3.7 percent to $10.39