Markets closed in the red on Monday as investors awaited Jerome Powell’s testimony later in the week. Further, stronger-than-expected jobs data for June also resulted in lower hopes for a rate cut by the Fed in its next meeting. The three major benchmarks ended in the negative territory.
The Dow Jones Industrial Average (DJI) decreased 0.4%, to close at 26,806.14. The S&P 500 decreased 0.5% to close at 2,975.95. The tech-laden Nasdaq Composite Index closed at 8,098.38, losing 0.8%. The fear-gauge CBOE Volatility Index (VIX) increased 10.5% to close at 14.68. Decliners outnumbered advancers on the NYSE by a 2.30-to-1 ratio. On Nasdaq, a 2.66-to-1 ratio favored declining issues.
How Did the Benchmarks Perform?
The Dow dipped 116 points to close in the red. Losses for the 30-stock index were broad-based. Shares of Boeing (BA - Free Report) declined 1.3% and weighed on the Dow. The aerospace giant lost out on a $5.5 billion deal with a Saudi Arabian airlines company to Airbus. Boeing carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The S&P 500 lost 14.5 points to end in negative territory. Of the 11 major sectors of the S&P 500, six ended in the red, with materials and technology stocks leading the decliners. Materials Select Sector SPDR Fund (XLB) and Technology Select Sector SPDR Fund (XLK) decreased 1.2% and 0.8%, respectively on Monday.
Meanwhile, the Nasdaq dropped 63.4 points to also close in the red. Losses for the Nasdaq were broad-based. Further, shares of Apple (AAPL - Free Report) dipped 2.1% and weighed on the Nasdaq.
Investors Cut Back on Rate Reduction Hopes
Following healthy jobs data for June, investors have lowered their hopes of a rate cut by the Federal Reserve at the end of its meeting this month. Per the latest report by the Labor Department on Jul 5, the U.S. economy added a staggering number of jobs last month.
There was a total of 240,000 new job additions last month, significantly higher than the consensus estimate of 170,000. This points toward a healthy economy, essentially weakening the case for a rate cut. Such developments weighed on the investor sentiment. Moreover, market-watchers also look forward to Fed Chief Jerome Powell’s testimony later this week.
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Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Markets closed in the red on Monday as investors awaited Jerome Powell’s testimony later in the week. Further, stronger-than-expected jobs data for June also resulted in lower hopes for a rate cut by the Fed in its next meeting. The three major benchmarks ended in the negative territory.
The Dow Jones Industrial Average (DJI) decreased 0.4%, to close at 26,806.14. The S&P 500 decreased 0.5% to close at 2,975.95. The tech-laden Nasdaq Composite Index closed at 8,098.38, losing 0.8%. The fear-gauge CBOE Volatility Index (VIX) increased 10.5% to close at 14.68. Decliners outnumbered advancers on the NYSE by a 2.30-to-1 ratio. On Nasdaq, a 2.66-to-1 ratio favored declining issues.
How Did the Benchmarks Perform?
The Dow dipped 116 points to close in the red. Losses for the 30-stock index were broad-based. Shares of Boeing (BA - Free Report) declined 1.3% and weighed on the Dow. The aerospace giant lost out on a $5.5 billion deal with a Saudi Arabian airlines company to Airbus. Boeing carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The S&P 500 lost 14.5 points to end in negative territory. Of the 11 major sectors of the S&P 500, six ended in the red, with materials and technology stocks leading the decliners. Materials Select Sector SPDR Fund (XLB) and Technology Select Sector SPDR Fund (XLK) decreased 1.2% and 0.8%, respectively on Monday.
Meanwhile, the Nasdaq dropped 63.4 points to also close in the red. Losses for the Nasdaq were broad-based. Further, shares of Apple (AAPL - Free Report) dipped 2.1% and weighed on the Nasdaq.
Investors Cut Back on Rate Reduction Hopes
Following healthy jobs data for June, investors have lowered their hopes of a rate cut by the Federal Reserve at the end of its meeting this month. Per the latest report by the Labor Department on Jul 5, the U.S. economy added a staggering number of jobs last month.
There was a total of 240,000 new job additions last month, significantly higher than the consensus estimate of 170,000. This points toward a healthy economy, essentially weakening the case for a rate cut. Such developments weighed on the investor sentiment. Moreover, market-watchers also look forward to Fed Chief Jerome Powell’s testimony later this week.
More Stock News: This Is Bigger than the iPhone!
It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.
Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.
Click here for the 6 trades >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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