Dow falls more than 300 points as investors brace for more Fed tightening after huge ADP report

• Stocks fell on Thursday as investors braced for tighter monetary policy from the Fed.
• Traders anticipate more rate hikes after ADP jobs data came in hot.

US stocks fell on Thursday, as strong jobs data stoked fears that the Federal Reserve will get more aggressive on tightening.

ADP private payrolls rose 497,000 in June, about double what economists expected. That could spell trouble for stocks, as Fed officials have cited an overly hot jobs market as a reason why interest rates could stay elevated.

The 10-year Treasury yield jumped above 4%, and the 2-year yield hit 5.120%, the highest since 2007, as markets braced for a higher-for-longer interest rate regime.

Markets are waiting for the Labor Department's June jobs report to be released Friday, and economists expect payroll gains of 225,000, down from 339,000 in May.

Here's where US indexes stood as the market closed 4:00 p.m. on Thursday:

• S&P 500: 4,411.59, down 0.79%

• Dow Jones Industrial Average: 33,922.26, down 1.07% (366.38 points)

• Nasdaq Composite: 13,679.04, down 0.82%

Here's what else is going on:

• The bull market in stocks will push to S&P 500 to 5,000 by 2024, Bank of America predicted.
• Here's what retail traders are buying to chase the rally in stocks, according to Vanda Research.
• The slowdown in US spending could eventually hit the stock market, experts said.
• Homebuyers flocking to Florida have driven some of its cities to be the most overvalued in the US.
• Russia's ruble crashed even further as Wagner's Yevgeny Prigozhin is said to be back in Russia after the failed mutiny attempt.
• The biggest hedge fund in the world said ChatGPT could pass its investment associate test.

In commodities, bonds, and crypto:

• Oil prices climbed, with West Texas Intermediate up 0.1% to $71.85 a barrel. Brent crude, the international benchmark, edged higher by 0.05% to $76.56 a barrel.
• Gold slipped 0.33% to $1,911.12 per ounce.
• The 10-year yield surged 9 basis points to 4.041%.
• Bitcoin dipped 0.7% to $30,289.