Yahoo Finance·2025-12-12 16:16Market Overview - US stocks experienced a significant decline, with the Nasdaq leading the drop, falling almost 2% amid a shift from tech to value stocks [1] - The S&P 500 dropped approximately 1.3%, while the Dow Jones Industrial Average slipped 0.5% [1] Treasury Yields and Investor Sentiment - Treasury yields increased, with the 10-year yield surpassing 4.18% and the 30-year yield rising above 4.85% [2] - Investors are moving away from tech stocks due to renewed concerns about AI over-valuations, as Broadcom's earnings report failed to provide clarity on AI profitability, leading to a drop of over 10% in its shares despite a quarterly earnings beat [2] Cyclical Stocks and Economic Outlook - Cyclical stocks gained traction following the Federal Reserve's third interest-rate cut of the year, which has fostered optimism for US economic growth [3] - The rate cut has also contributed to a surge in gold prices, reaching a record high and positioning the precious metal for its best year since 1979 [3] Corporate Developments - Lululemon's shares surged more than 9% after the announcement of CEO Calvin McDonald's exit at the end of January, following a period of disappointing sales [4]