Wall Street closed lower on Wednesday, as climbing Treasury yields pressured megacap stocks and investors grew less confident about strong rate cuts from the Federal Reserve, while corporate news pressured McDonald's and Coca-Cola.

Benchmark 10-year US Treasury yields reached a three-month high with investors reassessing the Fed rate-cut outlook over the next few months against the backdrop of strong economic data and the upcoming presidential election.

Nvidia fell 2.81 percent, Apple 2.16 percent, Meta Platforms 3.15 percent and Amazon slid 2.63 percent, dragging on the tech-laden Nasdaq.

Out of the 11 S&P sub sectors, only utilities and real estate posted gains.

The Dow Jones Industrial Average fell 409.94 points, or 0.96 percent, to 42,514.95, the S&P 500 lost 53.78 points, or 0.92 percent, to 5,797.42 and the Nasdaq Composite lost 296.47 points, or 1.60 percent, to 18,276.65.

McDonald's  tumbled 5.12 percent after an E. coli infection linked to its Quarter Pounder hamburgers killed one and sickened many. Coca-Cola fell 2.07 percent after the company reiterated its annual profit growth forecast even though it expected higher revenue.

Boeing dropped 1.76 percent after the planemaker reported a quarterly loss of $6 billion owing to a crippling strike. Factory workers at Boeing will vote later in the day on a new contract proposal that could end the standoff after more than five weeks.