NEW YORK (AP) — Stocks are closing sharply lower and bond yields are rising after Fed Chairman Ben Bernanke said the central bank could slow its massive bond purchases this year.
The Dow Jones industrial average dropped 206 points, or 1.4 percent, to 15,112. It was the Dow’s seventh straight move of 100 points or more.
The Standard & Poor’s 500 fell 22, or 1.4 percent, to 1,628. High-dividend stocks like telecommunications and utilities stocks fell the most.
The Nasdaq fell 39 points, or 1.1 percent, to 3,443.
The yield on the 10-year Treasury note jumped to 2.34 percent, the highest since March 2012. The yield started the day at 2.21 percent.
Five stocks fell for every one that rose on the New York Stock Exchange. Volume was average at 3.4 billion shares.