Stocks trade muted, bond yields reach pre-pandemic high

By DAMIAN J. TROISE
AP Business Writer

Stocks were muddled in morning trading on Wall Street Tuesday as investors continue to struggle to predict how well the economy will weather the current bout of inflation as well as the Federal Reserve’s medicine for healing it, higher interest rates. The S&P 500 fell 0.1%, the Dow Jones Industrial Average rose 0.3% and the Nasdaq fell 0.1%. Peloton jumped 15.2% after the exercise bike maker announced a corporate shake-up that included the resignation of its co-founder as CEO and big job cuts. Bond yields rose. The yield on the 10-year Treasury note rose to 1.96%, its highest level since before the pandemic began.