ECONOMY

US stock indexes log another loss as global interest rates move higher; AOL soars

Trader Timothy Nick, center, works on the floor of the New York Stock Exchange, Tuesday, May 12, 2015. A key borrowing rate shot to a five-month high Tuesday morning, as traders around the world continued to sell off big government bonds. (AP Photo/Richard Drew)

Trader Timothy Nick, center, works on the floor of the New York Stock Exchange, Tuesday, May 12, 2015. A key borrowing rate shot to a five-month high Tuesday morning, as traders around the world continued to sell off big government bonds. (AP Photo/Richard Drew)  (The Associated Press)

U.S. stocks are closing slightly lower after recouping much of an early slump.

Investors are beginning to worry about a global sell-off in government bonds that has been driving long-term borrowing costs higher. The benchmark U.S. bond yield touched its highest level since November.

The Dow Jones industrial average lost 36 points, or 0.2 percent, to 18,068 Tuesday.

The Standard & Poor's 500 index gave up six points, or 0.3 percent, to 2,099. The Nasdaq composite declined 17 points, or 0.4 percent, to 4,976.

AOL soared 19 percent after Verizon said it would buy the company. Gap sank 4 percent after saying the strong dollar was hurting its revenue.

European government bond prices fell, pushing yields higher.

Oil rose $1.50 to $60.75 a barrel in New York.