Market check: Stocks sink to 2022 lows as volatility spikes

Yahoo Finance's Emily McCormick discusses how stocks are cryptocurrencies are moving lower today.

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- Well, stocks coming off of the session lows, but we're still talking about a decline of 1.5%, roughly, for the Dow. The NASDAQ the biggest loser on the day, down about 3% right now. Tech and energy the biggest laggard so far, with energy down more than 6% when we're talking about the sector.

Let's bring in Yahoo Finance's Emily McCormick, who is tracking all of the market action today. Emily.

EMILY MCCORMICK: Well, Akiko, the selling pressure is really not letting up today on Wall Street. As we can see here, the S&P 500, it had closed its fifth consecutive weekly loss just last week, and now we're heading for a sixth potential weekly loss if the selling continues here. This index down about 2.2% intraday. The NASDAQ composite, of course, the big laggard here, down 3% intraday. And the Dow Jones Industrial Average the best performer by comparison, but still down by nearly 1.5%.

And if we take a look at where things have now trended for the S&P 500 on a year-to-date basis, we are now hitting the lows of 2022 so far here for this blue chip index. And volatility is really the name of the game here. We could see that clearly in the CBOE Volatility Index, or VIX, which is, of course, a measure of the expected 30-day volatility for the S&P 500. That index climbing to nearly 35 here intraday. And of course, that longer-run average is right around 20. So we are well above that average level here.

Now, in terms of what we're seeing in the bond market, treasury yields, at least on the long end of the curve, are moving a little bit lower intraday today. They've been fluctuating between mild gains and losses. But over the past month, it has clearly been on an uptrend, that 10-year T-note yield up by nearly 14% on a one-month basis.

Then just highlighting a couple of individual names that are making some major moves in markets, of course there is a lot of red across the screen here, as well, Palantir being one of them. This company just issued weaker than expected guidance on revenue in its results that it posted earlier today. And Rivian, of course, moving lower after there were some reports that Ford was selling some of its stake in this electric vehicle maker.

Then broadening out to see just what's going on in some of these major technology stocks, a lot of selling pressure that's happening in the mega-cap tech names, Apple, Amazon being two notable examples. Those are, of course, heavily weighted index components, as well. That's really leading these major indices in the red here. And again, a lot of red across the board when it comes to the sector action, consumer staples the one exception today, Akiko.

- We've also seen rapid declines for crypto. I'm looking at Bitcoin trading just below-- just above that $32,000 level. What are we seeing in terms of crypto-linked stocks?

EMILY MCCORMICK: Well, taking a look quickly just at the cryptocurrency price action to begin with here, we've seen a lot of pressure for Bitcoin, for the major cryptocurrencies over the past several days. And that's really coming to a head today. We could see Bitcoin is down another 6%. You'd have to go all the way back to July 2021. That is the lowest level that Bitcoin is now trading at, down about 44% now over this one-year period.

And when it comes to crypto-linked stocks, naturally, when we see cryptocurrencies under pressure, these crypto-linked stocks, such as Coinbase, for example, even PayPal, of course, which just recently reported results, and Square also really seeing quite a bit of selling action, as well. Now, Coinbase is slated to report its quarterly results tomorrow afternoon. So we'll see how this company performs then. But just based on what we're seeing in the cryptocurrency price action, investors not really showing a whole lot of optimism here for these names, Akiko.

- Yeah, hard to find optimism anywhere. Emily, thanks so much for that. That does it for me on this Monday. Keep it right here on Yahoo Finance. We're going to continue to track this Wall Street selloff.

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