Rate-hike fears continued to weigh on stocks, as the DJIA closed August in the red
It was another disappointing session for the
Dow Jones Industrial Average (DJIA), as worries of an upcoming rate hike
sank stocks for a second straight day, and pressured the Dow to its first monthly loss since January. With Wall Street's rate-hike hopes seemingly pinned to Friday's nonfarm payrolls release, a
better-than-expected ADP employment report set a cautious tone early on. Meanwhile, a
shocking rise in the Energy Information Administration's (EIA) crude inventories report sent oil prices -- and energy stocks -- into a tailspin, adding to today's risk-off environment.
Continue reading for more on today's market, including:
The Dow Jones Industrial Average (DJIA - 18,400.88) pared some of its early losses, but still finished with a 53.4-point, or 0.3%, loss. Of the Dow's 30 components, 11 closed higher, led by Intel Corporation's (NASDAQ:INTC) 0.5% advance. Chevron Corporation (NYSE:CVX) was the biggest loser, down 1.1%, and JPMorgan Chase & Co. (NYSE:JPM) closed flat. For the month, the blue-chip index settled 0.2% lower.
The S&P 500 Index (SPX - 2,170.95) gave back 5.2 points, or 0.2%. The Nasdaq Composite (COMP - 5,213.22) closed 9.8 points, or 0.2% lower. The SPX ends August with a 0.1% loss, while the COMP managed a 1% gain.
The CBOE Volatility Index (VIX - 13.42) added 0.3 point, or 2.3%, ending the month with a 13.1% gain.
5 Items on Our Radar Today:
- President Dilma Rousseff has been voted out of office by the Brazilian Senate. Rousseff, who was already suspended from duty, was charged with manipulating the federal budget. The impeachment vote passed 61-20. (USA Today)
- Elsewhere, U.S. presidential hopeful Donald Trump traveled to Mexico today. Trump is meeting President Enrique Pena Nieto in Mexico City, where protesters are lining up for his arrival. (Reuters)
- Option bears continue to bury Ford Motor Company (NYSE:F).
- Will VeriFone Systems Inc (NYSE:PAY) earnings burn the skeptics?
- The buzz that kept Twitter Inc's (NYSE:TWTR) hot streak alive.
Data courtesy of Trade-Alert
Commodities:
The bigger-than-expected rise in domestic stockpiles sent oil prices sliding today. October-dated crude was down $1.65, or 3.6%, at the close, at $44.70 per barrel. Crude oil still closed the month with a 7.5% gain, however -- its best monthly gain since April.
Gold futures fell once again amid the growing rate-hike anxieties. Gold dated for December delivery lost $5.10, or 0.4%, to end at $1,311.40. For the month, gold dropped 3.4%, marking its first monthly decline since May.
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