Stocks, Treasuries Fall on Fed Speculation Amid Earnings

U.S. stocks and Treasuries fell as housing and manufacturing data fueled speculation the Federal Reserve may reduce its asset-buying this year as investors weighed earnings reports from Apple Inc. to Caterpillar Inc.

The Standard & Poor’s 500 Index fell 0.4 percent to 1,685.94 at 4 p.m. in New York, after climbing to within 3 points of 1,700 for a third straight day. The yield on 10-year Treasuries jumped eight basis points to 2.59 percent. The Stoxx Europe 600 Index rallied 0.6 percent to an almost eight-week high. The Bloomberg Dollar Index climbed 0.5 percent for its first advance in four days, and the euro gained against most of its 16 major peers. Oil tumbled 1.7 percent and gold lost 1.1 percent.