US stocks tumble as 10-year Treasury yield hits 5% for first time since 2007

• US stocks tumbled on Monday as bond yields continued to surge.
• The yield on the 10-year US Treasury topped 5% for the first time since 2007.

US stocks slid on Monday as the 10-year Treasury yield briefly topped 5%, breaching that threshold for the first time since July 2007.

Yields have been surging recently on concerns over the US debt and the impact of tighter financial conditions, amid one of the worst Treasury bond crashes in history.

Markets, though, are largely expecting the Fed to be done with its aggressive interest rate hikes. Traders have priced in a 98% chance the central bank will keep interest rates level at its next policy meeting in November, according to the CME FedWatch tool.

Meanwhile, investors are waiting on more third-quarter earnings. Around 40% of S&P 500 firms are set to report their financials this week, including mega-cap tech giants like Alphabet, Microsoft, Meta, and Amazon.

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

• S&P 500: 4,209.92, down 0.34%

• Dow Jones Industrial Average: 32,988.33, down 0.42% (138.95 points)

• Nasdaq Composite: 12,938.90, down 0.35%

Here's what else is going on:

• "Rich Dad Poor Dad" author Robert Kiyosaki echoed Warren Buffet's signature warning about trying to time the market.
• Tesla stock just had its worst week of 2023, plunging 16% on Elon Musk's earnings-call nightmare.
• The yield on the 10-year US Treasury jumped above 5%.

In commodities, bonds, and crypto:

• Oil prices slipped, with West Texas Intermediate falling 0.84% to $87.34 a barrel. Brent crude, the international benchmark, fell 0.92% to $91.31 a barrel.
• Gold was down 0.19% to $1,977.62 per ounce.
• The 10-year yield climbed 4 basis points to hover at 4.972%.
• Bitcoin inched higher 2.6% to $30,697.