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Dow, S&P 500 Dragged Lower as Nasdaq Bounces Back

Personal consumption expenditures data gave investor sentiment a boost

Digital Content Manager
Feb 26, 2021 at 4:31 PM
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Stocks wrapped up the last trading session of February in volatile fashion, with some investors turning bullish after personal consumption expenditures data eased inflation fears. The Dow sank deeper into the red to register a roughly 470-point loss, though, as the 10-year Treasury yield hovered around 1.5%. Meanwhile, the S&P 500 turned lower in the final hour of trading, while the Nasdaq surged as investors jumped back on tech giants such as Apple (AAPL) and Facebook (FB). Despite notching modest monthly gains, all three major indexes walked away with weekly losses.

Elsewhere, investors ae expecting the House to pass U.S. President Joe Biden's $1.9 trillion coronavirus relief plan -- which includes $1,400 direct payments to Americans -- so that it can be sent to the Senate. They are also patiently waiting for the approval of Johnson & Johnson's (JNJ) Covid-19 vaccine.

Continue reading for more on today's market, including:

  • DoorDash stock dipped after predicting fewer deliveries.
  • This electric vehicle name slipped due to founder controversy.
  • Plus, why bulls bit into Beyond Meat stock; ABNB draws analyst attention after earnings debut; and the e-commerce concern beating estimates.

The Dow Jones Industrial Average (DJI - 30,932.37) fell 469.6 points, or 1.5% for the day, and 1.8% for the week. Microsoft (MSFT) led the Dow components with a 1.5% rise, while Salesforce.com (CRM) paced the laggards, falling 6.3%.

Meanwhile, the S&P 500 Index (SPX - 3,811.15) dropped 18.2 points, or 0.5% for the day, and 2.4% for the week. The Nasdaq Composite (IXIC - 13,192.34) added 72.9 points, or 0.6% for the day, but lost 4.8% for the week.

Lastly, the Cboe Volatility Index (VIX - 28.26) fell 0.6 point, or 2.2% for the day, but added 26.8% for the week.

 Closing Indexes Summary 2 February 26

NYSE and Nasdaq Stats February 26

  1. Democrats vowed to introduce an amendment that would punish large companies that pay workers less than $15 an hour with a5% penalty on total payroll. (CNBC)
  2. A new study found that a single dose of the Pfizer (PFE) Covid-19 vaccine can reduce virus transmission, in addition to lowering risk of infection. (MarketWatch)
  3. Options bulls bit into Beyond Meat stock after two major fast-food deals.
  4. Airbnb stock caught the attention of analysts following its earnings debut.
  5. This e-commerce name surged thanks to a stellar Q4 report and forecast.

Earnings February 26

Unusual Options Activity February 26

Gold, Oil Prices Fall as U.S. Dollar Regains Strength 

Oil prices fell significantly on Friday, pulling away from their 22-month highs as the U.S. dollar grew stronger and investors remained anxious the Organization of the Petroleum Exporting Countries and its allies (OPEC+) may choose to boost crude production next week. In turn, April-dated crude fell $2.03, or 3.2%, to settle at $61.50 per barrel on the day. For the month, though, the commodity added a whopping 19%.

Gold prices were also lower, extending their losses for a fourth consecutive session to notch their lowest close since June, and their second-straight monthly loss. Rising bond yields continued to be a challenge the yellow metal, while a stronger U.S. dollar certainly did not help. In response, April-dated gold fell $46.60, or 2.6%, to settle at $1,728.80 an ounce. For the month prices suffered a more dramatic 6.6% drop -- their worst since November. 

 

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