Wall Street loses ground as US treasury yields build up lead

US stock indices declined on Tuesday as US treasury yields gain ground following data.

Earlier US data showed labor costs rose 1.2% in the first quarter, passing estimates of a 1% increase, and becoming the largest increase since the third quarter of 2022. 

US 10-year treasury yields rose by 4.5 basis points to 4.659%, while 30-year yields rose by 3 basis points to 4.767%. 

The changes come ahead of the Federal Reserve’s policy decisions later this week, expected to maintain interest rates unchanged. 

On trading, Dow Jones fell 0.8%, or 300 points as of 17:25 GMT to 38,080, while S&P 500 fell 0.6%, or 32 points to 5,083, as NASDAQ slid 0.8%, or 124 points to 15,858.