Yahoo Finance Stocks - Dow Drops 200 Points as Financials, Tech Weigh
Invesitng.com – Wall Street closed lower on weakness in tech and financials, though signs of Brexit-deal progress lifted sentiment.
The Dow fell 0.81%, The S&P 500 fell 0.76% and the Nasdaq Composite fell 0.90%.
Apple (NASDAQ:AAPL), led the decline in the broader tech sector, falling 3% as concerns about its iPhone sales persisted in the wake of iPhone component suppliers warning on demand.
“Apple really has people questioning technology and the FAANGs. A lot of investors have their hopes pinned on Apple going up and that’s not happening,” said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh.
Financial stocks also struggled after Democrat Maxine Waters, poised to become chair of the U.S. House banking committee, said regulations would not be eased any further on her watch, according to a CNBC report.
Goldman Sachs (NYSE:GS) and JPMorgan Chase (NYSE:JPM) were both in the red.
“When Waters came up that had a profound impact on the markets and right about the time the S&P went negative,” said Forrest.
Corporate earnings, meanwhile, offered little reason for optimism as Macy’s (NYSE:M) fell 7% on concerns over whether the retailer can continue the pace of same-store sales growth following blowout third-quarter results, which topped analysts' estimates on both the top and bottom lines.
Wall Street did, however, show some fight heading into the close on a report that the UK Prime Minister Theresa May's Cabinet had agreed to a Brexit deal, though some remained cautious as the deal is expected to face tougher opposition in the UK Parliament.
Elsewhere, battered energy names found their footing as oil prices snapped a 12-day losing streak, though some warned the rebound was fragile.
Investor sentiment on stocks was also hurt after Rep. Bill Pascrell, D-NJ, in an interview with Bloomberg News, said the revamped trade deal between the U.S., Canada and Mexico needs to be changed before it can pass through Congress.
In corporate news, Pacific Gas & Electric (NYSE:PCG) said its potential liability for the California wildfires could exceed its current insurance coverage, sending its share tumbling more than 20%.
Top S&P 500 Gainers and Losers Today:
Coty (NYSE:COTY), Advanced Micro Devices (NASDAQ:AMD) and BorgWarner (NYSE:BWA) among the top S&P 500 gainers for the session.
Pacific Gas & Electric (NYSE:PCG), Progressive (NYSE:PGR) and CF Industries (NYSE:CF) were among the worst S&P 500 performers of the session.
-- Reuters contributed to this report.
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