US Market Fall: Panic in the US market! Dow-Nasdaq fell, but gold became the support of investors

News Topical, Digital Desk : The US market has once again seen a decline on Tuesday. Rising yields in the bond market put pressure on stocks from recent highs. The S&P 500 index fell 0.7% to trade at 6,415.54. This is proving to be the worst day for the index in the past one month.

The Dow Jones was trading 249 points (0.5%) lower at 45,295.81. The Nasdaq was trading 0.8% lower at 21,279.63.

Decline in big tech companies
Big tech companies pulled the market down. Nvidia, a leader in AI technology, fell 2% and was the biggest drag on the S&P 500. Amazon was down 1.6% and Apple was down 1%. The stocks of these companies rose rapidly in recent years, but critics now consider them expensive.

Pressure from bond yields
The 10-year Treasury yield rose from 4.23% to 4.27%. When bonds pay higher interest, investors are reluctant to pay higher prices for stocks. Long-term bond yields are rising globally as concerns about governments repaying their debts grow.

Impact of Trump's policies
President Donald Trump is being criticized for pressuring the Federal Reserve to lower interest rates quickly. This has raised questions about the Fed's independence, as it may hinder it from taking the tough decisions needed to control inflation in the long run. In addition, on Friday, a federal appeals court declared Trump's global tariffs illegal, although they have been kept in place for now. The tariffs have caused confusion in the global economy and affected the US job market. Rise in the price of gold Gold prices reached record levels amid uncertainty, as investors consider it a safe investment. Eye on the US economy A report on Tuesday said that the US manufacturing sector shrank more than expected in August. Companies reported that tariffs have destabilized the business environment. A chemical industry company said that orders are decreasing due to tariffs and uncertainty of the global economy. This weak data may give the Federal Reserve a chance to reduce interest rates this month. The job data coming on Friday will be important in this direction. Constellation Brands: Fell 6.6% due to a decrease in sales of high-end beer. The company reduced its profit forecast. Kraft Heinz: Fell 7% after the announcement of the company's division into two parts. One part will handle brands such as Heinz, Philadelphia Cream Cheese and Kraft Mac & Cheese, the other Oscar Mayer, Kraft Singles and Lunchables. PepsiCo: Gained 1.1% as investment firm Elliott Investment Management recommended the company improve growth and financial performance. Indexes fell in Europe, with Germany's DAX down 2.3%. Asia was mixed, with Seoul gaining 0.9% and Hong Kong falling 0.5%.

Read More: GST Impact on Insurance Stocks: Know what will be the impact of the new decision on GST on insurance stocks