Stocks finished lower Thursday. The Dow fell 545 points to 25052. The S&P 500 fell for a sixth straight day, down 57 points to 2728. The Nasdaq Composite dropped 92 points to 7329.
The major averages extended losses as investors remained cautious following Wednesday’s sharp decline. The Nasdaq slipped into correction territory as the recent sell-off in Tech stocks caused the index to drop over 10% from its record level in August. Treasuries rose during the session as investors shifted funds into perceived “safe-haven” assets. The yield on the 30-year bond, which traded as high as 3.25% on Tuesday, fell an additional five basis points to 3.14%. On the data front, an update on inflation showed core CPI (ex-food and energy) advanced 2.2% year-over-year in September, below projections of a 2.3% gain.
Energy shares provided a stiff market headwind as WTI crude retreated 3.2% to $70.80/barrel after a report revealed a surprise build-up in U.S. crude supplies last week. Financials also underperformed ahead of the “unofficial” start to earnings season with several large-cap banks releasing third quarter results before Friday’s open. In other corporate news, Walgreens Boots Alliance fell 2.0% to $70.90 after the company fell short of analyst revenue projections. Delta Air Lines gained 3.6% to $51.58 after topping analyst estimates on the top and bottom line.
Breadth was negative on issues by 6:1 on the NYSE and by 3:1 on the Nasdaq. Composite NYSE volume was more than 4.8 billion shares.
In commodities, COMEX gold added 2.7% to $1,220.80/ounce amid a weaker dollar.