Stock Market Today, Oct. 7: Markets Edge Lower as Treasury Yields Surge

The S&P 500 (^GSPC -0.22%) fell 0.23% to 7,801 as investors pulled back from record levels, while the Nasdaq Composite (^IXIC -0.22%) slipped 0.22% to 27,539 and the Dow Jones Industrial Average (^DJI -0.66%) lost 0.66% to 51,180.

Gold prices fell 1.34% to $4,130.80 as of U.S. market close, the 10-Year Treasury yield declined 0.04% to 5.27%, and Utilities led the session while Real Estate lagged and Technology remained a notable gainer.

Caterpillar (CAT -5.75%) shares fell 5.7% after a broker downgrade to hold, and Constellation Brands (STZ +2.35%) slid after reaffirming its annual profit forecast. Conversely, Intel (INTC +0.55%) gained on news regarding its Terafab project while Nvidia (NVDA -0.74%) attracted interest following reports of a potential multi-billion-dollar chip deal with SpaceX.

The Dow's 0.7% decline was almost entirely one stock. Caterpillar's 5.7% drop removed 295 points, roughly 86% of the index's loss. Price-weighted indexes care more about share price than total market value. Take out Caterpillar's move and the Dow matches the other two at roughly flat.The rest of the day was a shrug with interesting corners. Micron Technology (MU +4.06%) rose 4.1% and led both of the cap-weighted major indexes higher. Nvidia (NVDA -0.74%) and Space Exploration Technologies (SPCX -2.51%) both fell on reports of a multibillion-dollar chip deal between them, which is a strange reaction to good news.The thing to watch isn't today's dip. It's the 30-year Treasury yield at a 24-year high, quietly raising the cost of everything.