Wall Street finished Monday’s trading session as bank stocks gave back earlier gains. Apple shares (NASDAQ: AAPL) dropped the news that the business will slow employment and expenditure growth.
The S&P banking sector declined towards the close after opening the day with significant gains following earnings from Bank of America Corp (NYSE: BAC) and Goldman Sachs Group Inc (NYSE: GS).
Following a Bloomberg story that stated the firm planned to reduce employment and expenditure growth in some departments next year to deal with a potential economic slowdown, Apple shares reversed course to settle down 2.1 percent at $147.1. Due to growth in its fixed-income trading, Goldman Sachs saw a smaller-than-anticipated 48 percent decline in second-quarter earnings.
Following comments from Fed officials last week that the policymakers may adhere to a 75-basis point rise, concerns for a greater one percentage point rate hike at the end of July decreased.
The S&P 500 lost 32.31 points, or 0.84 percent, to reach 3,830.85, and the Nasdaq Composite dropped 92.37 points, or 0.81 percent, to reach 11,360.05. The Dow Jones Industrial Average sank 215.65 points, or 0.69 percent, to reach 31,072.61. The S&P 500 lost ground in nine out of its eleven major industries, with healthcare and utilities suffering the highest percentage declines and energy posting the biggest gains. Investors will widely monitor Big technology firms’ earnings next week since their shares have been subject to intense selling pressure for a significant portion of this year.
Alphabet, Google’s parent company (NASDAQ: GOOGL), fell 2.5% along with other tech equities. IBM (NYSE: IBM) had a 1.3 percent decrease.
10.63 billion shares were traded on U.S. exchanges, which is lower than the 12.15 billion average for the whole session for the previous 20 trading days. On the NYSE, advancing issues outweighed advancing issues by a ratio of 1.20 to 1; on the Nasdaq, a ratio of 1.06 to 1 favored decliners. The Nasdaq Composite had 30 new highs and 78 new lows, while the S&P 500 saw one new 52-week high and 31 new lows.
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