US stock markets decline amid rising bond yields and inflation concerns

US stock markets experienced a broad decline on Wednesday as rising long-term Treasury yields fueled concerns regarding inflation and increasing debt levels. This reversal ended a recent winning streak for the S&P 500 and Nasdaq, with the technology and semiconductor sectors facing significant selling pressure. The Dow Jones Industrial Average fell 0.66%, the S&P 500 dropped 0.22%, and the Nasdaq decreased by 0.22%. The Philadelphia Semiconductor Index saw a sharper decline of 1.15%.

The downturn in US markets has negatively impacted the Taiwanese market. Taiwan's index futures fell 375 points in overnight trading, casting doubt on the local market's ability to break the 50,000-point milestone. This weakness was further compounded by a 2.09% drop in TSMC ADRs and a decline in semiconductor-related indices. Market analysts suggest that high leverage and foreign investor adjustments may lead to increased volatility as the market approaches psychological resistance levels.