US stocks fall and bond yields head back up as UK prime minister backs tax-cut plans

• US stocks dropped on Thursday, giving back some of the prior session's gains, with the Dow shedding more than 200 points.
• The 10-year Treasury yield climbed after it dropped by its widest margin since 2020 on Wednesday.

US stocks tumbled Thursday, with the major indexes on pace to give up much of the prior session's gains, and are all likely to notch the worst-performing month since June.

Bond yields headed back up after UK Prime Minister Liz Truss defended controversial tax-cut plans that sent markets spiraling earlier. That came after the British debt market stabilized somewhat following the Bank of England's intervention on Wednesday.

"The Bank of England is facing a very, very difficult dilemma right now," Christoph Schon, senior director of applied research at Qontigo, told Insider on Wednesday. "The bank wants to quiet down markets and stabilize credit conditions in the UK."

Here's where US indexes stood as the market opened 9:30 a.m. on Thursday:

• S&P 500: 3,680.29, down 1.04%

• Dow Jones Industrial Average: 29,455.04, down 0.77% (228.70 points)

• Nasdaq Composite: 10,884.20, down 1.52%

Here's what else is going on today:

• Germans will face a gas shortage this winter unless they use less energy, while the German government proposed a price cap that could encourage more consumption.
• Billionaire investor Ken Griffin said a US recession is inevitable, and the Fed needs to stick to its guns to reset inflation.
• Warren Buffett's Berkshire Hathaway just piled in another $350 million into Occidental stock, and has plowed about $10 billion into the oil giant in the space of 35 trading days this year.
• Legendary short-seller Jim Chanos said investors are overlooking a major risk in China's real-estate crisis.
• Top economists like Paul Krugman and Mohamed El-Erian have torn into UK leaders for their spending plans.

In commodities, bonds, and crypto:

• Oil prices climbed, with West Texas Intermediate up 0.66% to $82.69 a barrel. Brent crude, the international benchmark, inched higher 0.65% to $89.94 a barrel.
• Gold edged lower 0.43% to $1,662.00 per ounce.
• The 10-year yield rose 8 basis points to 3.796%.
• Bitcoin dropped 1.23% to $19,308.01.