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Stock Market News Today: Dow Futures Fall; PayPal, Robinhood Stocks in Focus -- Live Updates - The Wall Street Journal

Stocks extended their losses early Thursday, while bonds came under further pressure, as an increase in borrowing by the U.S. and lackluster earnings threaten this year’s surge in share prices.

Rising bond yields, spurred in part by America’s credit downgrade, have weighed on stocks, adding to pressure from the decline in corporate profits. The selling has spread overseas, contributing to losses for stocks in Europe and Asia on Thursday.

Stocks face a fresh test after the close, when tech giants Amazon (AMZN) and Apple (AAPL) are due to report quarterly results.

In early trading:

The S&P 500 fell 0.5%, a day after the benchmark index posted its biggest loss since April. The tech-heavy Nasdaq Composite and the Dow industrials also traded lower.

Government-bond prices fell. The yield on 10-year Treasury notes rose above 4.1%, after settling Wednesday at 4.077%, the highest end-of-day level since November.

Overseas stocks mostly retreated. The U.K.'s FTSE 100 and the Stoxx Europe 600 dropped, as stocks including semiconductor-maker Infineon Technologies, airline Deutsche Lufthansa and London Stock Exchange Group fell on quarterly results. Asian markets were broadly lower, but mainland Chinese stocks rose after survey data showed a pickup in services activity.

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