Stocks finished lower Thursday. The Dow fell 200 points to 26627, while the S&P 500 lost 23 points to 2898. The Nasdaq Composite was down 145 points to 7879.
The Dow’s five day winning streak came to an end as rising Treasury yields dampened investor sentiment. Yesterday, Federal Reserve Chairman Jerome Powell advised the central bank is a long way from getting rates to neutral and foresees the potential for additional policy tightening in 2019. In response to the recent run of strong domestic economic updates and hawkish Fed commentary, Treasuries extended losses as the yield on the 10-year note advanced three basis points to 3.19%.
On the data front, initial jobless claims for the prior period came in at the lowest level in nearly 49 years. Separate updates showed factory orders increased 2.3% in August, while a final reading of durable goods orders revealed a 4.4% gain during the same period.
Nine of 11 S&P 500 sectors finished lower as Communication Services, Technology, and Consumer Discretionary groups provided a strong headwind to the market. Financials outperformed in sympathy with higher treasury yields. In earnings news, Constellation Brands was the top performer in the S&P 500 today. Shares of the alcoholic beverage maker advanced 5.4% to $222.10 after posting profits that topped analyst projections and raised its forward guidance.
Breadth was negative on issues by roughly 4:1 both the NYSE and Nasdaq. Composite NYSE Volume was more than 3.4 billion shares.
In commodities, WTI crude slipped 2.4% to $74.56/barrel. COMEX gold fell 0.1% to $1,197.20/ounce despite a weaker dollar.