Stocks fell sharply on Wednesday, adding to the month's steep losses, as a drop in global bond yields raised concerns about a slowing global economy.
The Dow Jones Industrials erased Tuesday's gains, plummeting 357.43 points, or 1.4%, to 25,672.09
The S&P 500 fell 32.43 points, or 1.1%, to 2,848.34
The NASDAQ swooned 58.38 points to 7,774.89.
Bank stocks, including J.P. Morgan Chase and Bank of America, led the decline as they are the one sector with the most to lose from falling interest rates. J.P. Morgan shares slid 2.8% while Bank of America dropped 3.3%.
In corporate news, Disney shares slid on weaker-than-expected results for the previous quarter. Disney's results were weighed down by increasing losses in streaming services such as Hulu, ESPN+ and Disney+. The media giant also blamed the integration of Fox's entertainment assets for the weak numbers. Disney shares traded down more than 5%.
Wednesday's losses brought both the Dow and S&P 500 down more than 4% for the month. The NASDAQ was down 4.8% for August.
Prices for the benchmark 10-year U.S. Treasury gained sharply, dropping yields to 1.61% from Tuesday's 1.72%. Treasury prices and yields move in opposite directions
Oil prices slid $1.49 to $52.14 U.S. a barrel.
Gold prices popped $25.70 to $1,509.90 U.S. an ounce.