Nasdaq Falls as Yields Rise on Hot Inflation

The move came against a backdrop of stubborn price pressure in the U.S., where consumer prices remain well above the Fed’s 2% target and have done so for years. The 10-year Treasury yield was around 5.17%, a level that keeps equity valuations under pressure by raising the discount rate on future earnings.

The Nasdaq-100 tracker QQQ slipped to $728.00, just above its 50-day moving average of about $726.41, while momentum weakened with the relative strength index dropping to 38.2 and the MACD still below its signal line. Nasdaq Inc. shares were little changed to slightly firmer at $93.50, but the exchange operator remains tied to the same market-wide de-risking that has hit growth stocks and trading-heavy products.

The inflation backdrop also complicates the outlook for policymakers globally, with central banks facing the same trade-off between price stability and growth. For investors, the immediate risk is that another sticky CPI report or hawkish Fed signal pushes yields higher again and keeps pressure on Nasdaq names into the next data release.