U.S. stocks fell and bonds gained as the economic threat of restrictions to control the new omicron variant outweighed optimism about the efficacy of vaccines.
Both the S&P 500 and Nasdaq 100 retreated, ending a three-day rally, as losses in consumer discretionary and real estate stocks led the market lower. Treasuries pared back a rally after a lackluster sale of 30-year bonds. Meanwhile, the Cboe Volatility Index inched higher toward 22.
