Wall Street closes on fall in Apple shares and bank stocks

Wall Street closes on fall in Apple shares and bank stocks

  • Indices down: Dow 0.69%, S&P 500 0.84%, Nasdaq 0.81%
  • Apple shares fall after report of slower recruitment
  • Bank stocks erase gains to close

July 18 (Reuters) – Wall Street closed lower on Monday after bank stocks erased earlier gains and shares of Apple (AAPL.O) fell on a report that the company plans to boost hiring and spending growth in the next year to slow down.

After posting solid gains early in the session following gains in Bank of America Corp (BAC.N) and Goldman Sachs Group Inc (GS.N), the S&P Financials (.SPSY) sector weakened towards the close.

Apple shares reversed course, closing up 2.1% at $147.1 after a Bloomberg report that said the company plans to slow hiring and spending growth in some units over the next year to avoid a potential cope with the economic downturn. Continue reading

Sign up now for FREE unlimited access to Reuters.com

Goldman Sachs rose 2.5% as it reported a smaller-than-expected 48% fall in second-quarter earnings, helped by the strength of its fixed income trading.

Worries of a larger 1 percentage point rate hike in late July eased after Fed officials noted last week that policymakers could stick with a 75 basis point hike. Continue reading

“It’s really difficult to sustain the upward momentum,” said Ross Mayfield, an investment strategy analyst at Baird in Louisville, Kentucky. “And that’s kind of a bear market story.”

A trader works on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., July 13, 2022. REUTERS/Brendan McDermid

The Dow Jones Industrial Average (.DJI) fell 215.65 points, or 0.69%, to 31,072.61, the S&P 500 (.SPX) lost 32.31 points, or 0.84%, to 3,830.85 and the Nasdaq Composite (.IXIC) fell 92.37 points, or 0.81%, to 11,360.05.

Nine of the S&P 500’s 11 major sectors lost ground, with healthcare (.SPXHC) and utilities (.SPLRCU) suffering the largest percentage declines, while energy (.SPNY) gained the most.

Earnings for the big tech companies next week will be closely watched after their shares have come under intense selling pressure for much of this year.

Among other tech stocks, Google parent Alphabet fell 2.5%. IBM fell 1.3%.

Volume on US exchanges was 10.63 billion shares compared to the average of 12.15 billion for the entire session over the past 20 trading days.

Rising issues predominated on the NYSE at a 1.20 to 1 ratio; on the Nasdaq, a 1.06-to-1 ratio favored relegators.

The S&P 500 posted a new 52-week high and 31 new lows; the Nasdaq Composite posted 30 new highs and 78 new lows.

Sign up now for FREE unlimited access to Reuters.com

Reporting by Echo Wang in New York; Additional reporting from Shreyashi Sanyal, Bansari Mayur Kamdar and Sruthi Shankar in Bengaluru; Edited by Shounak Dasgupta, Anil D’Silva and Deepa Babington

Our standards: The Thomson Reuters Trust Principles.

Leave a Reply

Your email address will not be published.