US stocks trade mixed as bond yields spike after hot retail sales data

• Stocks traded mixed on Tuesday as bond yields surged after a blowout retail sales report.
• Retail sales jumped 0.7% in September from the prior month, more than double forecasts.

US stocks finished mixed on Tuesday as investors took in higher Treasury yields and a hotter-than-expected retail sales report.

Retail sales rose 0.7% through the month of September, blowing past economists' expectations for a 0.3% monthly gain.

The hot economic data means investors are pricing in higher-for-longer interest rates from the Federal Reserve, as officials have suggested rate cuts are out of the question until the economy sees more substantial cooling. The yield on the 10-year US Treasury surged 12 basis points, topping 4.8%.

"Retail sales showed a big upside surprise today, to the Fed's dismay," Bolvin Wealth Management Group president Gina Bolvin said in a note on Tuesday. "The odds are at a coin flip for the prospect of more hikes this year, and the market is pricing in cuts in July."

Here's where US indexes stood as the market closed at 4:00 p.m. on Tuesday:

• S&P 500: 4,373.20, down 0.01%

• Dow Jones Industrial Average: 33,997.65, up 0.04% (13.11 points)

• Nasdaq Composite: 13,533.75, down 0.25%

Here's what else is going on:

• There are two signs the stock market's euphoria is mirroring past bubbles - and it could end badly for investors.
• Americans now need to earn a record $115,000 to afford a typical home.
• The 30-year fixed mortgage rate hit a fresh 23-year high, edging closer to 8%.
• Treasurys crashed because everyone forgot they're a bad inflation hedge, according to Wharton professor Jeremy Siegel.
• Long-term investors should be plowing 80% of their portfolios into stocks or hard assets, according to BlackRock's Larry Fink.
• "Tesla could be in the midst of a strategic pivot." Here's what Wall Street expects from the EV maker's 3rd-quarter earnings report.

In commodities, bonds, and crypto:

• Oil prices rose, with West Texas Intermediate ticking 0.12% higher to $86.75 a barrel. Brent crude, the international benchmark, inched up 0.48% to $90.08 a barrel.
• Gold edged rose 0.21% to $1,924.20 per ounce.
• The 10-year yield surged 12 basis points to hover at 4.834%.
• Bitcoin slipped 1.04% to $28,411.