Why Zoom Video Communication Shares Are Falling

Shares of companies in the broader technology space, including Zoom Video Communications, Inc. ZM, are trading lower amid a rise in bond yields, which has weighed on growth stock valuations.

The 10-year Treasury yield hit an intraday high of 1.508% Monday morning before dipping to around the 1.496% level. The spike in the 10-year note Monday comes after the Federal Reserve in September spoke on winding down its ongoing asset purchasing program.

Zoom Video Communications provides a video-first communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa.

Zoom's stock was trading about 3.55% lower at $258 per share on Monday at the time of publication. The stock has a 52-week high of $588.84 and a 52-week low of $253.41.