Stock market today: Wall Street sinks on rate worries as health care stocks and Tesla tumble [Video]

HONG KONG – U.S. stocks are sinking Tuesday, as worries about interest rates staying high continue to hit Wall Street.

The S&P 500 was 1% lower in morning trading and on track for a second dip after setting an all-time high to close last week. The Dow Jones Industrial Average also pulled further from its record and was down 445 points, or 1.1%. The Nasdaq composite was 1.4% lower, as of 10:10 a.m. Eastern time.

Health care companies led the market lower on worries about their upcoming profits after the U.S. government announced lower-than-expected rates for Medicare Advantage. Humana tumbled 13%. Tesla, meanwhile, dropped 5.5% after delivering far fewer vehicles for the start of 2024 than analysts expected.

One of the big reasons the U.S. stock market has been on a nearly unstoppable run since late October is the expectation that the Federal Reserve will cut interest rates several times this year. It’s hinted as much, and an …