Stocks finished lower Monday. The Dow fell 395 points to 25,017, while the S&P 500 dropped 45 points to 2,690. The Nasdaq Composite was down 219 points to 7,028.
U.S. equities extended last week’s decline as broad weakness in Tech shares continued to weigh on the major averages. Trade relations also garnered an outsized focus after Vice President Mike Pence reiterated the U.S. will not yield on tariffs unless China makes significant concessions. On the data front, a report showed homebuilder sentiment in November suffered its steepest monthly decline since February 2014.
Nine of 11 S&P 500 sectors closed in negative territory. The Tech sector led decliners, with Apple sliding 4.0% to $185.86 after The Wall Street Journal reported production orders were slashed for all three iPhone models unveiled earlier in the year. Chipmakers provided a headwind with NVIDIA dropping 12.0% to $144.70 and Micron Technology losing 6.6% to $36.83. The oft-cited “FAANG” fell 4.8%. Industrials also underperformed in sympathy with lingering trade concerns, with Boeing down 4.5% to $320.94 and Caterpillar dipping 3.1% to $125.98. In earnings, JD.com lost 8.4% to $21.11 after the Chinese eCommerce giant missed analyst revenue estimates.
Breadth was negative on issues by 8:3 on the NYSE and 3:1 on the Nasdaq. Composite NYSE volume was more than 3.7 billion shares.
Treasuries were higher with the yield on the benchmark 10-year note down two basis points to 3.05%. In commodities, WTI crude gained 0.5% to $56.76/barrel. COMEX gold rose 0.1% to $1,224.70/ounce amid a weaker dollar.