Wall Street Close: US benchmark bulls electrocuted by June high's electric fence
- DOW JONES UNOFFICIALLY CLOSES UP 12.49 POINTS, OR 0.05 %, AT 26,087.79.
- S&P 500 UNOFFICIALLY CLOSES DOWN 27.17 POINTS, OR 0.85%, AT 3,157.87.
- NASDAQ UNOFFICIALLY CLOSES DOWN 221.38 POINTS, OR 2.09%, AT 10,396.06.
The June highs are well protected on Wall Street and bulls ran into an electric fence and forced back into their pens below critical resistance levels ahead of key bank earnings that kick-off on Tuesday.
Initially, there was a bid in US stocks with hopes of a vaccine and Pepsi`Cos upbeat results. However, a sharp drop in tech shares, Amazon, Microsoft and other recent big-name leaders of the recent Wall Street rally soured sentiment.
The S&P 500 briefly touched its highest level since Feb 25th but it seems that investors are bracing for what could be the sharpest drop in quarterly earnings for the indexes firms since the GFC.
More on that here: S&P 500 Index Forecast: Bank's earnings in focus, COVID-19 induced insolvency fears simmer away
Unofficially, the DJIA rose 11.4 points or by 0.04%, to 26, 086.34, the S&P 500 lost 29.69 points to 0.93% to 3,155.35 and the NASDAQ Composite dropped 226.60 points or 2.13% to 10,390.84.
More to come...