The DJIA suffered a horrible start to the week -- but not as horrible as the COMP
The Dow Jones Industrial Average (DJIA) got hammered to start the week, as losses mounted as the day went on. Fed uncertainty carried over from the previous week, amplified by rate-hike chatter from a couple of central bankers -- and ahead of another speech from Fed Chair Janet Yellen. Also stoking the bearish flames were more economic concerns out of China, as well as lackluster housing data on the home front. The real story, though, was the Nasdaq Composite (COMP), which dropped triple digits as biotechs got crushed.
Continue reading for more on today's market, including:
The
Dow Jones Industrial Average (DJIA - 16,001.89) briefly breached 16,000 for the first time since Sept. 1, before settling 312.8 points, or 1.9%, lower. Only one of the 30 Dow components closed higher, that being Johnson & Johnson (NYSE:JNJ) and its 0.4% lead. Visa Inc's (NYSE:V) 4.9% drop led the losers.
The
S&P 500 Index (SPX - 1,881.77) took a 49.6-point, or 2.6%, fall, sinking beneath 1,900 for the first time since Aug. 25. The
Nasdaq Composite (COMP - 4,543.97) had a horrible day, plummeting 142.5 points, or 3%, to
its lowest close since Aug. 25
The
CBOE Volatility Index (VIX - 27.63) took off, adding 4 points, or 17%, to topple its 10- and 20-day moving averages for the first time since Sept. 1.
5 Items on Our Radar Today:
- NASA on Monday confirmed that it has found flowing liquid water on Mars. NASA employee Mary Beth Wilhelm stated, “Our results may point to more habitable conditions on the near surface of Mars than formerly thought." (Fox News)
- Republican Presidential candidate Donald Trump has outlined his long-awaited tax plan. The proposal looks to close tax loopholes for special interests, while lowering taxes for millions of Americans. Of note, anyone earning $25,000 or less -- or any married couples jointly earning less than $50,000 -- would pay no income tax. (USA Today)
- 2 drilling firms that got crushed despite positive reviews from Wall Street.
- Bears are "winning," but that could be a good thing, says Schaeffer's contributor Adam Warner.
- This move from Amazon.com, Inc. (NASDAQ:AMZN) is big news for Detroit.
Commodities:
Uncertainty about the global economy and a stronger dollar weighed on oil. By the close, crude for November delivery fell $1.27, or 2.8%, to $44.43 per barrel.
Gold suffered its worst day in almost three weeks. Gold dated for December gave back $13.90, or 1.2%, to close at $1,131.70 per ounce.