Weaker industrials and renewed banking concerns weigh on Dow.
On Tuesday, the Dow Jones Industrial Average closed lower due to a decline in industrial stocks and concerns over the banking sector’s ongoing turmoil.
The Nasdaq and S&P 500 also fell. Financials, particularly regional banks, experienced a selloff led by Zions Bancorporation, First Republic Bank, and Comerica. JPMorgan’s CEO warned that the banking crisis was far from over and could have repercussions for years to come.
The Labor Department’s latest JOLTs report also showed a decrease in job openings, raising concerns about the economy.
Industrials were another significant drag on the market, with Caterpillar Inc. and United Rentals, Inc. declining after a Baird downgrade due to reduced lending activity in regional banks. Boeing Co. fell almost 1%, and energy stocks, such as Marathon Oil Corporation, Phillips 66, and Valero Energy Corporation, experienced losses as investor focus shifted to the impact of a slowing global economy on crude demand.
Virgin Orbit Holdings also fell 23% after filing for Chapter 11 bankruptcy protection due to a lack of funding.
