S&P 500 falls for third day as Treasury yields rise: Live Updates

D S&P 500 The benchmark index fell on Wednesday, putting it on track for a third day, as Treasury yields continued their March highs.

The broader market index lost 0.3%, while Nasdaq Composite 0.5% reduction. D Dow Jones Industrial Average retreated, losing 287 points or about 0.7%.

Member of the Dow McDonald's The US Centers for Disease Control and Prevention says an E. coli outbreaks fell by more than 7%, with 10 hospitalizations and one death. Starbucks The coffee chain fell 2% after issuing preliminary quarterly results that showed its sales fell again.

There was also another uptick in rates weighing on stocks. The yield on the benchmark 10-year Treasury note rose 3 basis points to 4.23%, not seen since July.

Higher yields weighed on the S&P 500 and Dow on Tuesday, with both indexes closing slightly lower on the day. The Nasdaq, however, rose about 0.2%.

Strong economic data and deficit concerns are among the factors behind the rise in 10-year Treasury yields – despite a half-point rate cut from the Federal Reserve in September. Traders are also growing concerned that central bank policymakers may be less inclined to cut rates, even as the Fed forecast another half-point rate cut before the end of the year.

To be sure, the equity backdrop is still constructive, according to Jeff DeGraff, head of technical research at Renaissance Macro Research.

“The trends are still positive and we don't have much near-term momentum, but it's not the end of the world by any means,” he said on CNBC's “Closing Bell” on Tuesday. “In fact, a lot of times it turns out to be a good setup because it's a merger.”

“Investing today, the next three months historically don't get any brighter than late October,” DeGraff added.