Stocks fall as trading starts for year of great expectations

  • 📰 ABC
  • ⏱ Reading Time:
  • 77 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 34%
  • Publisher: 51%

Business News News

Business Business Latest News,Business Business Headlines

U.S. stocks are falling Monday, as big swings return to Wall Street at the onset of 2021.

The S&P 500 was 1.7% lower in afternoon trading after earlier dropping as much as 2.5%. The Dow Jones Industrial Average also fell from its record set last week and was down 512 points, or 1.7%, at 30,094. The Nasdaq composite was 1.7% lower, as of 1:39 p.m. Eastern time.

The United Kingdom has been hit particularly hard by a new variant of the coronavirus that appears to be more contagious. On Monday, the United Kingdom became the first nation to start using the COVID-19 vaccine developed by Oxford University and drugmaker AstraZeneca. Even though infection rates and hospitalizations are at frightening levels, many investors have been betting that ultralow interest rates provided by the Federal Reserve and financial support for the economy recently approved by Congress can help tide the economy over until vaccinations become more widespread.

Of course, many risks remain for the market, even beyond the threat of economic lockdowns coming in the near term because of the raging pandemic. Prices have climbed enough that critics say stocks may be too expensive, particularly if the big rebound in corporate profits that investors expect to occur later this year doesn’t materialize.

More than 80% of stocks in the S&P 500 were falling Monday. On the losing end of the market were several Big Tech stocks. Apple fell 2.8%, Microsoft dropped 2.7% and Amazon lost 2.2%. Because they're so massive in size, the movements of Big Tech stocks have much more sway over the S&P 500 than other companies. Those three were the biggest drags on the index.

In Asia, Tokyo’s Nikkei 225 lost 0.7% after Prime Minister Yoshihide Suga said a state of emergency was under consideration for the Japanese capital and three surrounding prefectures due to surging virus caseloads.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 471. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stocks to buy, 17 EV and green stocks shrugging bubble worries: MSMorgan Stanley says buy these 17 EV and green stocks which are shrugging off any 'bubble' concerns — including one that could rally almost 60%
Source: BusinessInsider - 🏆 729. / 51 Read more »

Stocks to buy, 29 cheap stocks set to generate higher earnings: GSGoldman Sachs says to buy these 29 cheap stocks set to generate higher earnings next year as interest rates and bond yields continue to rise Watch this:
Source: BusinessInsider - 🏆 729. / 51 Read more »

Crypto Stocks Fail to Benefit from Bitcoin's Recent RallyICYMI: cryptocurrency mining stocks have lost more than half of their value since November Bitcoin BTC $BTC Check out this item on OpenSea via opensea
Source: Utoday_en - 🏆 295. / 63 Read more »

EU Stocks, DAX: European Stocks on the Brink of Technical CollapseWhen markets reach a ‘top’, price action and momentum tends to slow down, consolidate and failed attempts to trade higher are also observed. Get your market update from RichardSnowFX here:
Source: DailyFX - 🏆 305. / 63 Read more »

Froth and FOMO are being used to create meme stocks, and fake meme stocksAre there fake meme stocks? “No conversation at all, then a flood of mentions,” said Travis Rehl, the founder of HypeEquity, a platform that tracks social media sentiment on individual stocks. “The stock goes up and the comments stop almost immediately.” Yes
Source: MarketWatch - 🏆 3. / 97 Read more »

Analyst doubles down on tech stocks, names his favorite stocks to buy on the dipDespite Monday’s rout in tech stocks, Wedbush Securities analyst Daniel Ives says it’s time to double down on a number of “winners.” Pro horrible
Source: CNBC - 🏆 12. / 72 Read more »