US STOCKS-Wall St falls as growth stocks slide; inflation concerns, rising yields weigh

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* Technology-related companies resume slide
* Boeing falls as regulators probe engine blow-outs
* Discovery rises on strong paid streaming subscribers
forecast
* Indexes down: Dow 0.45%, S&P 0.60%, Nasdaq 1.19%

(Updates to open)
By Devik Jain and Shreyashi Sanyal
Feb 22 (Reuters) - U.S. stock indexes fell on Monday as
climbing Treasury yields and prospects of rising inflation
triggered valuation concerns, hitting shares of high-flying
growth companies.
Shares of Apple Inc AAPL.O , Microsoft Corp MSFT.O ,
Facebook Inc FB.O , Alphabet Inc GOOGL.O , Tesla Inc TSLA.O ,
Netflix Inc NFLX.O and Amazon.com Inc AMZN.O resumed a fall
from the previous week, falling between 0.6% and 2.1% in early
trading.
A largely upbeat fourth-quarter earnings had powered Wall
Street's main indexes to record highs earlier last week, but the
rally lost steam on fears of a potential snag in countrywide
inoculation efforts and inflation concerns rising from a raft of
stimulus measures.
"Since investors are anticipators, they are preparing for a
potential spike in inflation now," said Sam Stovall, chief
investment strategist at CFRA Research.
"Most growth stocks benefit from declining interest rates.
If interest rates are expected to rise, then that would reduce
the intrinsic value of growth stocks."
Yields on 10-year Treasury notes have already reached 1.38%
US10YT=RR , above the psychological 1.30% level. MKTS/GLOB
Federal Reserve Chair Jerome Powell in his semi-annual
testimony before Congress this week is likely to reiterate a
commitment to keeping policy super easy for as long as needed.
Cyclical stocks have benefited recently from a rotation out
of technology-related shares on hopes that they stand to gain
from pent-up demand once the COVID-19 pandemic is subdued.
The S&P 500 financial sector .SPSY rose 0.2%, while energy
stocks .SPNY gained 2.2% on higher oil prices. Nine of the 11
major S&P 500 sectors were in negative territory.
Value stocks have outperformed growth shares in February,
with the S&P 500 value index .IVX posting three straight weeks
of gains this month, while the S&P 500 growth index .IGX shed
1.7% last week.
At 9:46 a.m. ET the Dow Jones Industrial Average .DJI was
down 142.78 points, or 0.45%, at 31,351.54, the S&P 500 .SPX
was down 23.54 points, or 0.60%, at 3,883.17 and the Nasdaq
Composite .IXIC was down 165.59 points, or 1.19%, at
13,708.88.
Boeing Co BA.N dropped 2% after showers of jet engine
parts over residential areas on both sides of the Atlantic have
caught regulators' attention and prompted the suspension of some
of its older planes from service. The incidents have also put engine maker Pratt & Whitney in
the spotlight, with shares of owner Raytheon Technologies Corp
RTX.N , falling 1.8%.
Discovery Inc DISCA.O gained 6.2% after the media company
said it was expecting 12 million global paid streaming
subscribers by the end of February, as coronavirus-led
restrictions kept people home. Kohl's Corp KSS.N jumped 5.7% after a group of activist
investors, nominated nine directors to the department store
chain's board. Principal Financial Group Inc PFG.O surged 8.3% after a
media report that activist investor Elliott Management Corp had
taken a stake in the life insurance company and planned to push
for changes. Declining issues outnumbered advancers for a 1.28-to-1 ratio
on the NYSE and a 1.72-to-1 ratio on the Nasdaq.
The S&P index recorded 35 new 52-week highs and no new low,
while the Nasdaq recorded 110 new highs and three new lows.