Dow Jones slides for third consecutive day as Treasury yields climb to 19-year high

The Dow Jones Industrial Average declined for the third consecutive session on Thursday as treasury yields climbed to a 19-year high.

The Dow Jones fell 0.31% to end at 51,349.98, while the S&P 500 ended flat, with negative bias, at 7,704.13, down 0.02%. The NASDAQ Composite was little changed at 26,939.37, up 0.01%.

McDonald's Corp shares settled 0.55% lower and declined over 5% in midday trading after the company released a new multiyear growth plan, apart from a warning that high inflation and sluggish restaurant traffic are likely to continue.

The benchmark 10-year Treasury yield rose to its highest level since 2007, and the 30-year yield jumped to its highest level since 2004.

On Wednesday, Federal Reserve Governor Michael Barr said that "further policy adjustments are likely to be needed" to keep inflation under control.

Last week, the Fed decided to raise its key benchmark interest rate by 25 basis points (bps) to the range of 3.75% to 4%. This was the first rate hike in more than three years.

Brent Crude, the international standard, slipped 0.77% to $105.80 a barrel, while West Texas Intermediate fell 1.46% to $93.23 per barrel.

Meanwhile, the focus will be on a meeting between US President Donald Trump and his Chinese counterpart Xi Jinping in Washington today ahead of a state dinner. The two countries have already extended the traffic truce till January 10.

The two leaders are likely to discuss AI, critical minerals and geopolitical issues.