Stocks - Dow Retreats as Bloodbath in Energy Weighs

Investing.com - The selloff on Wall Street continued for a second-straight day as a selloff in energy weighed on risk sentiment.

The Dow Jones Industrial Average fell about 0.40%. The S&P 500 fell 0.15%, while the Nasdaq Composite closed flat.

Wall Street gave up its early-session gains after energy stocks plunged on the back of a record losing streak in U.S. oil prices, which fell to a one-year low.

The latest plunge in oil prices emerged as President Donald Trump urged Saudi Arabia and OPEC to stay the course on production amid expectations that the cartel and its allies could announce output cuts at a meeting next month.

Exxon Mobil (NYSE:XOM), Chevron (NYSE:CVX) and Marathon Oil (NYSE:MRO) oil closed lower, dragging the S&P Energy Sector index down 2%.

The wreck in tech continued as Apple (NASDAQ:AAPL) struggled to pare losses from a day earlier, amid fresh signs of weaker demand for its latest slate of iPhones after another Apple supplier cut its outlook following Lumentum's warning on Monday.

Qorvo (NASDAQ:QRVO), which provides Radio Frequency (RF) solutions for Apple, slashed its third-quarter guidance, citing a drop in demand for smartphones.

Wall Street has turned bearish on Apple on concerns of weaker iPhone demand, as Goldman Sachs reduced its full-year 2019 iPhone sales outlook by 6% and revenue by 3.5% and cut its 12-month Apple price target to $209 a share.

The bearish day on Wall Street overshadowed an upbeat third-quarter print from Home Depot (NYSE:HD).

The home improvement retailer posted earnings and revenue that topped consensus. Its shares erased early gains to close flat.

Financials offered some respite, however, as a selloff from a day earlier attracted bargain-hunting investors. JPMorgan Chase & Co (NYSE:JPM), Citigroup Inc (NYSE:C) and Morgan Stanley (NYSE:MS) closed higher for the day.

White House Chief Economic Advisor Larry Kudlow, meanwhile, also touted optimism on trade with China, confirming a report that Treasury Secretary Steven Mnuchin and Chinese Vice Premier Liu He had resumed trade talks.

In the wake of the recent selloff, U.S. stocks have more than pared their post-midterms gains, but analysts continue to suggest sentiment on risk will return as concerns about U.S. growth and policy are "overdone."

"We think these positive market themes can reassert themselves going forward, and concerns about U.S. growth and policy concerns appear overdone in the near term," Goldman Sachs said.

In corporate news, Nvidia (NASDAQ:NVDA) rallied 5% after Wall Street served up an upbeat assessment of the chipmaker ahead of its quarterly results due Thursday.

Top S&P 500 Gainers and Losers Today:

Advance Auto Parts (NYSE:AAP), General Electric (NYSE:GE) and Nvidia (NASDAQ:NVDA) were among the top S&P 500 gainers for the session.

Coty (NYSE:COTY), Tyson Foods (NYSE:TSN) and Halliburton (NYSE:HAL) were among the worst S&P 500 performers of the session.

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