Market Pulse: Dow climbs 110 points, but broader stock market wavers Tuesday as 10-year yield nears 2%

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U.S. stocks opened Tuesday trading mixed, with the Dow industrials rising on the back of early moves in Amgen Inc.

and Goldman Sachs

Equity indexes, however, continued to confront friction against the prospect of rising interest rates for benchmark debt, with the 10-year Treasury note

at around 1.96%, around its highest yield since 2019. Rising yields are a weight on valuations for speculative and growth-oriented stocks, which are being rerated for tighter monetary policy and higher borrowing costs.

In other corporate news, investors were focused on shares of exercise equipment maker Peloton Interactive
which was after it said it would replace its chief executive, overhaul its board and cut costs, including lay off 2,800 employees. Shares of Pfizer Inc.

were lower, weighing on the health sector, after the drug maker reported fourth-quarter profit that beat expectations, while revenue more than doubled but missed forecasts.

In economic data, the U.S. trade deficit jumped 27% in 2021 to a record $859 billion largely because a recovering economy gave Americans the means to buy more imports. They also paid higher prices due to rising inflation.

The deficit widened in December by 1.8% to $80.7 billion, marking it the second largest monthly increase ever. Economists polled by The Wall Street Journal had forecast a $82.9 billion shortfall.