U.S. stocks turned sour on Tuesday, while bond yields continued to extend gains as investors monitored the latest developments in the banking sector after the sale of Silicon Valley Bank.

The S&P 500 (^GSPC) and the Dow Jones Industrial Average (^DJI) declined 0.1%. Contracts on the technology-heavy Nasdaq Composite (^IXIC) turned red by 0.5%.

Bond yields moved higher. The yield on the benchmark 10-year U.S. Treasury note moved to about 3.56%on Tuesday. On front end of the yield curve, two-year yields jumped over 4%. WTI crude oil (CL=F) rose more than 5% to start the week on Monday, and it ticked up to above $73 a barrel Tuesday.

Stocks ended Monday mixed, after North Carolina-based First Citizens (FCNCA) bank bought Silicon Valley Bank. Communication services, tech, and real estate were the only sectors to finish the day lower; the former two sectors also dragged on the Nasdaq, resulting in the tech-heavy index to fall 0.5%, according to Bespoke Investments.

Shares of First Citizens jumped to a record high, extending gains for the second consecutive day on Tuesday after acquiring the deposits and loans of SVB. Meanwhile, shares of SVB Financial, which were delisted on the New York Stock Exchange, began trading over the counter for less than 30 cents.

As banks dominated the headlines again this week, federal regulators were slammed with intense questions from lawmakers on Tuesday regarding the collapse of SVB and Signature Bank. All three regulators agreed that financial regulations need to be tightened following the recent turmoil.

“I anticipate the need to strengthen capital and liquidity standards for banks with over $100 billion,” Federal Reserve Vice Chair for Supervision Michael Barr said at the Senate Banking Committee hearing, responding to Democratic Senator Elizabeth Warren's question.

During the hearing, lawmakers also pressed on the issue that executives of the banks should face consequences leading up to the failures.