Stocks finished lower Thursday. The Dow declined 464 points to 22859, bringing its five session sell-off to more than 1,700 points. The S&P 500 dipped 39 points to 2,467. The Nasdaq Composite lost 108 points to 6,528, just a few points shy of falling into bear market territory.
U.S. equities extended losses as investors continued to digest yesterday’s Federal Reserve meeting. Political proceedings also weighed on sentiment, as stocks hit their session lows following a report that President Trump will not sign a Congressional stop-gap bill which would prevent a partial government shut down on Friday. On the data front, initial jobless claims remained near a 50-year low, while an index of leading indicators advanced 0.2% in November, topping expectations of a flat reading. Separately, the Philadelphia Fed business outlook for December fell to the lowest reading since August 2016.
Ten of 11 S&P 500 sectors finished lower with only Utilities advancing. Energy stocks led the descent as WTI crude slumped another 4.8% to a 16-month low of $45.88/barrel. The Technology and Consumer Discretionary groups also underperformed with the oft-cited FAANG group losing 3%. Apple dipped 2.5% to $156.83 while Amazon slid 2.3% to $1460.83.
Breadth was negative on issues by 4:1 on the NYSE and 3:1 on the Nasdaq. Composite NYSE volume totaled nearly 5.6 billion shares.
Treasuries walked back some of yesterday’s rally, with the yield on the 10-year note adding four basis points to 2.80%. In commodities, COMEX gold advanced 0.9% to $1,263.60/ounce as the U.S. dollar retreated to the lowest level in six weeks.