U.S. stocks fell on Wednesday as inflation concerns drove Treasury yields sharply higher, with investors worried the Federal Reserve may raise rates further, according to Sina Finance. The Dow dropped 352.10 points, or 0.68%, to 51,511.59; the S&P 500 lost 58.61 points, or 0.75%, to 7,706.03; and the Nasdaq fell 308.24 points, or 1.13%, to 26,936.03. Utilities and consumer discretionary shares led the decline, both falling more than 1%. Most optical communications and memory chip stocks fell, with SanDisk, Corning, Coherent and SK Hynix down more than 3% and Micron Technology off more than 2%, while Western Digital rose about 2%. Gold mining stocks broadly declined, with Pan American Silver and Harmony Gold down more than 5%. McDonald's fell nearly 5%, its largest single-day drop since April 2025. Among the "Magnificent Seven," Meta rose more than 1%, Microsoft and Tesla closed slightly higher, Google fell more than 3%, Amazon dropped more than 2%, Nvidia declined more than 1%, and Apple edged lower. Rising Treasury yields pressured equities after a hot reading of the latest Purchasing Managers' Index pushed yields higher. The 10-year Treasury yield touched 5.135%, its highest level since July 2007, marking its largest single-day gain since April 7, 2025. The 2-year Treasury yield reached 4.947%, its highest since May 2024. The move intensified bets that the Fed will raise rates at least once more this year, particularly after Fed Governor Michael Barr called for "further policy adjustment" to bring down inflation. Barr said Wednesday that "further policy adjustment may be needed" to bring inflation under control, adding that economic growth was strong and the labor market solid, but inflation remained above the 2% target without moving toward it in a timely manner. According to the CME FedWatch tool, the probability of a 25-basis-point rate hike in October rose above 66% following the developments, up from 55.4% the prior day and just 8.8% a month earlier. West Texas Intermediate crude for November delivery rose $1.64 to settle at $92.16 a barrel, up 1.81%, while November Brent crude gained $3.83 to close at $103.08 a barrel, up 3.86%.