U.S. stocks experienced a downturn as inflation concerns escalated, driven by rising Treasury yields and strong services sector data. The market closed sharply lower, reflecting growing fears about potential interest rate hikes. Additionally, reports emerged that President-elect Donald Trump is contemplating declaring a national economic emergency to implement a new tariff plan. This speculation led to a negative response in futures for the three major U.S. stock indices. The U.S. dollar strengthened amid these developments, as investors reacted to the uncertainty surrounding Trump's proposed economic measures.