Stocks finished firmly lower Tuesday. The Dow fell 551 points to 24,465, while the S&P 500 declined 48 points to 2,641. The Nasdaq Composite lost 119 points to a seven month low of 6,908.
U.S. equities sold-off amid further weakness in Technology stocks and disappointing retail earnings. The decline has put the Dow and S&P 500 trading in negative territory for the year, while all five members of the oft cited “FAANG” group dipped into “bear-market” range following Monday’s retreat.
All 11 S&P 500 sectors ended lower. Energy shares fell the most as WTI crude retreated 6.6% to $53.43/barrel, the lowest level in more than a year. Apple paced the selling in Tech, with shares down 4.8% to $176.98 after the iPhone maker was the subject of another notable Wall Street downgrade Tuesday. In earnings, Target fell 10.5% to $69.03 while Lowe’s slipped 5.7% to $86.18 after each retailer missed analyst same-store sales projections. L Brands tumbled 17.7% to $28.43 after unexpectedly cutting its dividend. Meanwhile, Campbell Soup bucked the downward trend, rising 5.5% to $40.55 after beating consensus sales and profit projections.
Breadth was negative on issues by 6:1 on the NYSE and by 3:1 on the Nasdaq. Composite NYSE volume was more than 4.3 billion shares.
Treasuries were little changed with the yield on the 10-year note essentially unchanged at 3.05%. On the data front, housing starts rebounded 1.5% in October after falling 5.3% in the previous month.