Stocks Shed 2% Each Amid Rate Jitters - InvestingChannel

Stocks Shed 2% Each Amid Rate Jitters

Stocks tumbled Thursday as big bank earnings kicked off with disappointing results and traders assessed the possibility of even tighter U.S. monetary policy on the back of June’s inflation data.

The Dow Jones Industrials dwindled 603.1 points, or 2%, to 30,168.10.

The S&P 500 stumbled 76.21 points, or 2%, to 3,725.57.

The NASDAQ Composite dropped 225.94 points, or 2%, to 11,021.65.

Earnings results from major banks on Thursday offered further clues into the health of the U.S. economy. JPMorgan Chase sank 5% after reporting quarterly earnings that missed analyst expectations and halted buybacks.

Morgan Stanley also dipped following a miss on the top and bottom lines. Goldman Sachs, which is set to report earnings Monday, slipped 4%.

Earnings season for big banks continues on Friday with results from Wells Fargo and Citigroup.

All stocks in the Dow fell on the day, led by declines from JPMorgan, Goldman Sachs and Chevron. Energy, materials and financials led the S&P 500’s losses, down 2% each. Tech stocks Meta Platforms, Salesforce, Tesla and Amazon fell more than 1%.

June’s producer price index report, which measures prices paid to producers of goods and services, showed wholesale prices rise 11.3% last month as energy prices jumped and offered further insights into the health of the economy.

Treasury prices declined, raising yields to 2.99% from Wednesday’s 2.91%. Treasury prices and yields move in opposite directions.

Oil prices ditched $5.09 to $91.21 U.S. a barrel.

Gold prices dropped $37.00 to $1,698.50 U.S. an ounce.

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