Wall Street tumbles on tech sector, trade war worries
Wall Street shares plunged on Monday as investors fled technology stocks amid resurgent trade war worries, with key indexes trading below their 200-day moving averages and the S&P 500 closing below that pivotal technical level for the first time since Britain`s vote to leave the European Union in June 2016.
The first trading day of the second quarter began with a broad selloff concentrated in the technology and consumer discretionary sectors, as losses by Amazon.com
"It’s more complicated than just a tech selloff. What`s hurting everything is that the S&P went through its 200-day moving average," said Brian Battle, director of trading at Performance Trust Capital Partners in Chicago. "That attracts momentum sellers and they don`t care what the fundamentals are."
The Dow Jones Industrial Average <.dji> fell 458.92 points, or 1.9 percent, to 23,644.19 after dipping below its 200-day moving average. The S&P 500 <.spx> fell 58.99 points, or 2.23 percent, to 2,581.88 and the Nasdaq Composite <.ixic> dropped 193.33 points, or 2.74 percent, to 6,870.12.
All 11 major sectors of the S&P 500 closed lower, with the biggest losses seen by the consumer discretionary <.splrcd> and technology <.splrct> indexes, which were down 2.8 percent and 2.5 percent, respectively.
The tech-heavy Nasdaq was dragged lower by Microsoft
Shares of Tesla Inc
The electric automaker`s losses extend last week`s near 14-percent decline as investigations of a fatal California crash and a Moody`s credit downgrade weighed on the stock.
Health insurer Humana Inc`s
U.S. Treasury yields
Declining issues outnumbered advancing ones on the NYSE by a 4.17-to-1 ratio; on Nasdaq, a 4.14-to-1 ratio favoured decliners.
Volume on U.S. exchanges was 7.71 billion shares, compared to the 7.29 billion average over the last 20 trading days.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
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