Shares have wobbled the previous week as traders have grappled with a pointy and swift rise in bond yields. The shift, which cash managers have broadly attributed to bets on inflation and progress choosing up, has tempered enthusiasm for a number of the pricier sectors of the inventory market.

The S&P 500 know-how sector slid 2.2% Thursday, among the many worst-performing teams within the index. In the meantime, elements of the market thought to learn most from rising financial progress, like financials and power, wobbled between small positive factors and losses.

“The market is jittery. The bond yields’ rising is placing equities, particularly progress shares, underneath stress,” mentioned

Sebastien Galy,

a macro strategist at Nordea Asset Administration. “There’s a little bit of a threat discount broadly.”

One group of shares that bucked the pattern: “meme shares” which have surged in reputation amongst particular person traders this 12 months.

In a wave of volatility paying homage to final month’s rally,

GameStop

jumped 46%, whereas

AMC Leisure

climbed 7%. The 2 shares had soared in in a single day buying and selling as effectively.

The strikes present “there may be nonetheless liquidity and quite a lot of entry to speculative bets,” mentioned Sophie Chardon, cross asset strategist at Lombard Odier. “We now have to be ready to dwell with this sort of focused bubble, however I wouldn’t see it as a menace to the worldwide fairness market.”

In the meantime, authorities bond costs fell, with the yield on the benchmark 10-year Treasury word ticking as much as 1.460%, from 1.388% Wednesday.

“The rise in yields is supportive for banks, greater oil costs are supportive for power. It’s a change of management,” Ms. Chardon mentioned.

Abroad, the pan-continental Stoxx Europe 600 edged down 0.3%.

Amongst particular person equities, beer maker

Anheuser-Busch InBev

fell nearly 7% after its fourth-quarter revenue got here in under estimates.

British packaging firm

DS Smith

jumped over 5% on studies that rival Mondi is exploring a takeover.

Buyers have additionally been promoting European authorities bonds in latest weeks as they search for greater returns. The yield on French 10-year bonds, which strikes inversely to the value, ticked up above zero for the primary time since June and reached as excessive as 0.024%.

In Asia, most main benchmarks completed the day up.

The Shanghai Composite Index added 0.6%, snapping a three-day dropping streak, and Hong Kong’s Dangle Seng Index climbed 1.2%.

South Korea’s Kospi Index rallied 3.5% after its central financial institution stored rates of interest at historic lows, citing a must proceed supporting the nation’s financial system.

Write to Anna Hirtenstein at anna.hirtenstein@wsj.com and Akane Otani at akane.otani@wsj.com