Economics

U.S. Stocks Sink as Oil Breaks $40; Treasuries Drop on Rate Bets

  • Energy shares drive losses ahead of Friday's OPEC meeting
  • Yellen speech, ADP data begin crucial three days for markets

Yellen: Timing on Rate Increase Depends on Data

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U.S. stocks slipped as crude plunged past $40 a barrel, sparking a slide in energy producers. Treasuries fell after Federal Reserve Chair Janet Yellen signaled increasing confidence in the economy two weeks before central bank officials meet to review policy.

The Standard & Poor’s 500 Index extended losses in afternoon trading as the selloff in oil accelerated before a meeting of OPEC members Friday. Yields on 10-year Treasury notes rose the most in almost a month, while the dollar hovered near its strongest level in a decade as Yellen’s remarks laid the groundwork for the first rate rise since 2006.