US Stock Market: DJIA, S&P500, Nasdaq and Russell ended lower on Monday
- The S&P 500 fell 32.31 points, or 0.8%, to 3,830.85
- The Dow Jones fell 215.65 points, or 0.7%, to 31,072.61
- The Nasdaq fell 92.37 points, or 0.8%, to 11,360.05
- The Russell 2000 fell 5.96 points, or 0.3%, to 1,738.42
Wall Street finished lower Monday as an early rally faded by midafternoon, signalling a rocky start to a week full of updates on the two factors that drive stock prices: how much profit corporations make and where interest rates are headed.
The S&P 500 dipped 0.8% after rising 1% in the early going. The index ended a five-day losing skid at the close of last week. Gains in energy producers, large retailers, and other industries reliant on consumer spending were offset by a decline in health care and technology sectors. Goldman Sachs gained after posting a better-than-expected spring profit.
The Dow Jones Industrial Average dropped 0.7%, while the Nasdaq Composite dropped 0.8%.
The S&P 500 fell 32.31 points to 3,830.85. The Dow slid 215.65 points to 31,072.61, and the Nasdaq gave up 92.37 points to 11,360.05. The Russell 2000 index of smaller companies also fell. It dropped 5.96 points, or 0.3%, at 1,738.42.
Earnings season kicked off last week, and banks have dominated the early part of the schedule for reporting how much they earned from April through June.
Goldman Sachs was among the latest to report, and it rallied 2.5% after its profit and revenue were better than analysts expected. Synchrony Financial rose 0.3% after it likewise topped forecasts for profit and revenue.
Bank of America closed essentially flat after it fell short of analysts' profit expectations. Despite all the worries about a possible recession, Bank of America said its customers' spending and deposits remain strong.
In markets overseas, Hong Kong’s Hang Seng index surged 2.7% after Chinese media reported that some stalled real estate projects had resumed construction after buyers threatened to stop their mortgage payments. Stocks in Shanghai added 1.6%.
In the bond market, the yield on the 10-year Treasury rose to 2.98% from 2.96% late Friday. The two-year yield, which rose to 3.17%, is still above the 10-year yield. Some investors see that as an ominous sign that could presage a recession in a year or two.