NEW YORK: Wall Street stocks resumed their upward climb early Tuesday as markets digested another jump in US Treasury bond yields in anticipation of more Federal Reserve monetary tightening.

The yield on the 10-year US Treasury note – a proxy for interest rate expectations – jumped further above two percent as traders bet on aggressive Fed rate hikes in the coming months.

The Fed last week lifted rates for the first time since 2018 and Chair Jerome Powell said Monday the central bank was prepared to move “aggressively” to counter inflation.

Markets are also watching ongoing developments in Ukraine, where President Volodymyr Zelensky renewed his offer of direct talks with his Russian counterpart Vladimir Putin.

US stocks under pressure as oil prices climb

About 25 minutes into trading, the Dow Jones Industrial Average was up 0.8 percent at 34,828.95.

The broad-based S&P 500 gained 0.6 percent to 4,486.28, while the tech-rich Nasdaq Composite Index rose 0.5 percent to 13,902.04.

Among individual companies, Nike jumped 5.5 percent as the sports giant reported better-than-expected results on strong product pricing despite weakness in the Chinese market.