US close: Stocks sink as investors hold breath for stimulus
By Josh White
Date: Tuesday 24 Mar 2020
(Sharecast News) - Shares on Wall Street finished in the red after a turbulent session on Monday, even after the US central bank announced its plans for open-ended asset purchases, as traders expressed their disappointment that a proposed $1.6trn government spending package had failed to pass muster overnight in the Senate.
The Dow Jones Industrial Average ended the session down 3.04% at 19,591.93, the S&P 500 lost 2.93% to 2,237.40, and the Nasdaq Composite was 0.27% weaker at 6,860.67.
An hour before the opening bell, the Federal Reserve opened the door to unlimited purchases of Treasury and mortgage securities , and agency commercial mortgage-backed securities, alongside a raft of other credit facilities for employers and consumers.
In the background, traders were also keeping a close eye on the latest lockdown measures across the globe in response to the pandemic.
"As long as we continue to see this kind of exponential growth around the world, the case for a stock market bounce is weak," said Oanda senior market analyst Craig Erlam.
"Even stability will be hard to come by. If investors hate uncertainty, they'll despite this.
"The v-shaped recovery is a hope of the past, everyone is now just hoping that the temporary unemployment spike doesn't become more permanent or we have a real problem on our hands."
At the weekend, in remarks to Bloomberg, St Louis Federal Reserve chief James Bullard said the US economy might shrink to half its size in quarterly annualised terms during the second quarter, resulting in a spike in the rate of unemployment to 30%.
He reportedly also laid out the case for a "powerful" fiscal programme that would substitute for the $2.5trn of lost income over the three months to June and eventually ensure a strong recovery.
Dollar General slipped 0.19% despite announcing 50,000 new hires, mostly temporary, by the end of April, to meet heightened demand for household essentials.
In the retailing space, JP Morgan slashed its target prices on a raft of companies, including Urban Outfitters from $25 to $18, Abercrombie & Fitch from $16 to $10, and Kohl's from $42 to $22.
Shares in Urban Outfitters were down 10.24%, Abercrombie & Fitch was off 5.41%, and Kohl's lost 17.41.%.
Dow Jones - Risers
Boeing Co. (BA) $105.62 11.17%
Intel Corp. (INTC) $49.58 8.18%
Home Depot Inc. (HD) $162.39 6.73%
Walmart Inc. (WMT) $114.28 0.27%
Dowdupont Inc. (DWDP) $30.52 0.00%
Walt Disney Co. (DIS) $85.76 -0.26%
International Business Machines Corporation (CDI) (IBM) $94.77 -0.65%
Microsoft Corp. (MSFT) $135.98 -1.00%
Travelers Company Inc. (TRV) $88.36 -1.28%
Pfizer Inc. (PFE) $28.49 -1.79%
Dow Jones - Fallers
United Technologies Corp. (UTX) $74.95 -9.18%
Chevron Corp. (CVX) $54.22 -8.71%
McDonald's Corp. (MCD) $137.10 -7.67%
Visa Inc. (V) $135.74 -7.55%
Johnson & Johnson (JNJ) $111.14 -7.30%
American Express Co. (AXP) $68.96 -6.96%
Merck & Co. Inc. (MRK) $66.40 -6.95%
Nike Inc. (NKE) $62.80 -6.89%
Walgreens Boots Alliance, Inc. (WBA) $43.61 -6.05%
Unitedhealth Group Inc. (UNH) $194.86 -5.68%
S&P 500 - Risers
Royal Caribbean Cr (RCL) $28.19 18.40%
Coty Inc. Class A (COTY) $5.15 14.96%
FLIR Systems Inc. (FLIR) $28.97 13.52%
Alliance Data Systems Corp. (ADS) $31.02 12.60%
Hasbro Inc (HAS) $51.87 12.49%
Boeing Co. (BA) $105.62 11.17%
Norwegian Cruise Line Holdings Ltd (NCLH) $9.67 10.89%
Wynn Resorts Ltd. (WYNN) $57.57 10.78%
Western Digital Corp. (WDC) $34.37 10.69%
Microchip Technology Inc. (MCHP) $65.51 9.84%
S&P 500 - Fallers
Macy's Inc. (M) $4.81 -20.10%
Kohls Corp. (KSS) $13.09 -17.41%
HollyFrontier Corp (HFC) $18.66 -16.25%
Valero Energy Corp. (VLO) $32.62 -15.62%
LKQ Corporation (LKQ) $13.90 -14.72%
Wyndham Destinations Inc. (WYND) $16.81 -14.63%
Truist Financial Corp. (TFC) $25.69 -14.48%
Lennar Corp. Class A (LEN) $29.35 -13.88%
Whirlpool Corp. (WHR) $64.22 -13.74%
Emerson Electric Co. (EMR) $38.08 -13.63%
Nasdaq 100 - Risers
Hasbro Inc (HAS) $51.87 12.49%
Wynn Resorts Ltd. (WYNN) $57.57 10.78%
Western Digital Corp. (WDC) $34.37 10.69%
Microchip Technology Inc. (MCHP) $65.51 9.84%
Electronic Arts Inc. (EA) $95.47 9.81%
Take-Two Interactive Software Inc. (TTWO) $109.82 9.66%
Activision Blizzard Inc. (ATVI) $56.47 8.49%
Netflix Inc. (NFLX) $360.27 8.24%
Intel Corp. (INTC) $49.58 8.18%
Asml Holdings N.V. (ASML) $233.15 7.89%
Nasdaq 100 - Fallers
Liberty Global plc Series A (LBTYA) $15.76 -10.61%
Cintas Corp. (CTAS) $157.06 -10.30%
Liberty Global plc Series C (LBTYK) $14.84 -10.22%
Dish Network Corp. (DISH) $18.15 -9.11%
Kraft Heinz Co. (KHC) $20.77 -6.78%
Intuitive Surgical Inc. (ISRG) $367.75 -6.71%
Walgreens Boots Alliance, Inc. (WBA) $43.61 -6.05%
Marriott International - Class A (MAR) $70.13 -5.97%
Fiserv Inc. (FISV) $77.00 -5.83%
Cognizant Technology Solutions Corp. (CTSH) $41.61 -5.65%
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