Rising Bonds Yields, Wage Gains and Tech Stocks Are What's Rocking the Market
It's a cold day on Wall Street Friday.

Only two days in but this could be a February to forget for investors. 

The Dow Jones Industrial Average at one point on Friday, Feb. 2, fell 400 points to below 26,000. The Nasdaq and the S&P 500 also were having rough days with both indexes falling more than 1%.  

The CBOE Volatility Index (VIX.X) spiked 13% Friday to 15.22. 

Bond Yields Are Spiking

The selloff in the bond market has gotten worse with the yield on the benchmark 10-year U.S. Treasury note rising to 2.84%, a four-year high, after the jobs report showed that the U.S. economy added 200,000 jobs in January and wages accelerated

Economists expect wage pressure to build as the job market continues to tighten. Bond yields have risen steadily since Atlanta Federal Reserve adjusted its GDP outlook up to 5.4% in the first quarter. 

Alphabet, Apple and Amazon Are Headed in Different Directions

The big tech stocks have been a favorite of investors for months but following earnings releases from Alphabet Inc. (GOOGL) , Apple Inc. (AAPL) and Amazon.com Inc. (AMZN) , the market has split. 

Alphabet and Apple were taking a hit, falling 5.2% and 2.9%, respectively on Friday. Amazon jumped 5.5%. 

While Apple topped analysts' top- and bottom-line expectations, it did miss on expected iPhone sales and guided for weaker revenue for the current quarter. Shrinking margins and rising costs were responsible for the selloff in shares of Google parent Alphabet.

Amazon reported 38% revenue growth in the fourth quarter, just topping analysts' expectations, while net income jumped 148% year over year. 

Wage Gains

January produced the best wage growth in nine years, rising 0.34% month-to-month and 2.9% over the past 12 months. 

The U.S. economy added 200,000 jobs in January, ahead of economists' expectations, while the unemployment rate held steady at 4.1%. 

The strong labor market and wage growth increased the possibility the Federal Reserve could increase interest rates multiple times this year, even more than the three times expected by economists. 

Oil Dip

The oil sector was falling Friday after two heavyweights posted weak quarterly financial results. 

Exxon Mobil (XOM) and Chevron (CVX) both reported Friday morning and both missed analysts' expectations, sending the entire sector spinning.

The two companies reported quarterly net income that was above expectations, but most of the gains were a result of one-time benefits stemming from the GOP tax reform law. 

Exxon shares were down 5.66% while Chevron declined 3.5%. 

More of What's Trending on TheStreet:

More from Investing

Our Columnists Take Your Questions on What Stocks to Buy Here

Our Columnists Take Your Questions on What Stocks to Buy Here

This Will Be the Ultimate Buy (or Sell) Signal for Stocks

This Will Be the Ultimate Buy (or Sell) Signal for Stocks

Jim Cramer: Reports of Attempted Trade Truce With China Are False

Jim Cramer: Reports of Attempted Trade Truce With China Are False

5 Cheap Stocks Primed for a Summer Rally

5 Cheap Stocks Primed for a Summer Rally

3 Killer Stocks Trading at Unfair Discounts

3 Killer Stocks Trading at Unfair Discounts