According to BlockBeats, on December 28, the three major U.S. stock indices fell sharply overnight, with the Nasdaq at one point plummeting over 2%. By the close, the Dow fell 0.77%, the Nasdaq fell 1.49%, and the S&P 500 index fell 1.11%.

The 'Big Seven' tech stocks in the U.S. all fell, with Tesla at one point plunging over 6%; chip stocks and AI concept stocks also all closed lower. This significant drop was unexpected by the market, as there were no important economic data or news driving it.

Wall Street analysts believe that the 10-year U.S. Treasury yield has a significant impact on the stock market; the higher the yield, the greater the pressure on the stock market. On Friday, the U.S. Treasury yield rose nearly 1%, reaching 4.629%.

According to data from Bank of America, about $35 billion flowed out of U.S. stocks in the past week, the highest since December 2022. Goldman Sachs estimates that U.S. pension funds will sell $21 billion in stocks.