S&P 500 is going deeper into a bear market

The market witnessed the S&P 500 index fall on Thursday. Its respite the day before was short-lived. The reason was an Apple shares drop, caused by concerns about falling consumer demand that led to a sell-off.

Apple dropped by more than 5%. This is mainly due to the company's downgrade by Bank of America from "buy" to "neutral." Such actions of the financial conglomerate were caused by a slowdown in the U.S. consumer spending. 

As representatives of Bank of America noted, the technology giant would face a "significant downward revision" during the upcoming 2023. Signs of falling demand for Apple are cited by experts as follows: "despite relatively low iPhone lead times, there has been a slowdown in growth for the company's products."

Pressure on the market has also intensified due to rising Treasury bond yields. These indicators are considered an opponent of growth areas, including tech stocks. Inflation data for the second quarter points to the need of the Federal Reserve to further interest rates hiking.