U.S. stocks reversed midday gains on Wednesday as stronger-than-expected jobs data pushed Treasury yields higher, dampening hopes for near-term Federal Reserve rate cuts. The Dow Jones Industrial Average fell about 120 points, or 0.2%, to 50,068, while the S&P 500 and Nasdaq Composite dropped 0.2% and 0.5%, respectively. The catalyst was January's nonfarm payrolls report, which showed 130,000 jobs added, surpassing forecasts of 50,000. The unemployment rate decreased to 4.3% from 4.4%. This labor market strength led to a rise in the 10-year Treasury yield to 4.22%, impacting equity valuations, especially in growth sectors. Traders adjusted expectations for Federal Reserve easing, with limited rate cuts now anticipated later in the year. In the crypto market, the sector fell 3.2% to $2.28 trillion, with Bitcoin down 3.8% over the past week. Looking ahead, Friday's consumer price index report is expected to be a key market driver, potentially influencing inflation expectations and Federal Reserve policy.