Nasdaq Composite falls for 7th straight session in worst streak since 2016

Sept. 6 (UPI) -- The Nasdaq Composite fell for a seventh consecutive session Tuesday as markets slumped amid surging bond yields.

The tech-heavy Nasdaq dropped 0.74% for its longest losing streak since 2016, while the S&P 500 fell 0.41% and the Dow Jones Industrial Average closed down 173.14 points, or 0.55%, after markets were closed for Labor Day on Monday.

The yield on the U.S. 10-year treasury climbed as high as 3.353% on Tuesday before settling at about 3.342%, while the 2-year treasury note rose to yield 3.499% its highest level since 2007.

Oil prices declined, with West Texas Intermediate crude falling to $86.77 per barrel and Brent futures dropping to $92.65 per barrel after OPEC+ implemented its first supply cut in more than a year.

Investors on Tuesday also weighed data from the Institute of Supply Management, which reported its non-manufacturing PMI rose to 56.9 in August, up from 56.7 in July and above analysts' expectations of 55.5.

Elsewhere, shares of Bed, Bath & Beyond fell 18.42% after the company announced last week it would lay off staff and close about 150 stores while CFO Gustavo Arnal fell to his death from a New York skyscraper on Friday.

The three major averages posted their third consecutive losing week Friday as the Dow gave up earlier gains to end the day down 337.98 points.

Investors are awaiting the latest comments from the Federal Reserve as the CME FedWatch tool also forecast a 74% chance that the central bank will raise interest rates by 0.75% again after its September policy meeting.

"Fed Chair Powell made clear last week that the FOMC plans to push rates well into restrictive territory to bring down inflation and prevent an unmooring of inflation expectations," Nancy Vanden Houten and Kathy Bostjancic of Oxford Economics said in a note Friday.