The Nasdaq closed at its lowest level since September 2020
The Nasdaq skidded to its lowest close since September 2020 on Monday, as Big Tech and chip stocks tumbled in the face of surging interest rates. Also weighing on tech stocks was the Biden's administration move to limit U.S. companies' ability to sell semiconductors to China.
The S&P 500 and Dow fell too, with all three indexes logging their fourth-straight loss. Despite the blue-chip index's several trips into the black, Wall Street couldn't shake the selling after JPMorgan Chase (JPM) CEO Jamie Dimon warned the U.S. could slip into a recession in "six to nine months." It's no surprise then that Wall Street's "fear gauge," the Cboe Volatility Index (VIX), logged its third consecutive win.
Continue reading for more on today's market, including:
- Bulls turned to Kraft Heinz stock after upgrade.
- Analyst predicts billions in ad revenue for Netflix.
- Plus, Toast stock's new bull note; Rivian's massive recall; and chip stock to watch.
The Dow Jones Average (DJI - 29,202.88) shed 93.9 points, or 0.3% for the day. Walgreens Boots Alliance (WBA) led the gainers, adding 4.3%, while Salesforce (CRM) paced the laggards with a 3.1% loss.
The S&P 500 Index (SPX - 3,612.39) lost 27.3 points, or 0.8% for the day. Meanwhile, the Nasdaq Composite (IXIC - 3,612.39) dropped 110.3 points, or 1% for the session.
Lastly, the Cboe Volatility Index (VIX - 32.45) added 1.1 points, or 3.5% for the session.
5 Things to Know Today
- Ark Investment Management’s Cathie Wood penned an open letter to the Fed, warning it could be making a mistake in its hard stance against inflation. (CNBC)
- Russia attacked several Ukrainian cities today including Kyiv, where at least eight people have died, with President Vladimir Putin saying the strikes were retaliation. (MarketWatch)
- Mizuho praised Toast stock's "delicious path to profitability."
- Rivian Automotive stock plummets after a major vehicle recall.
- Keep tabs on this semiconductor stock.
There were no notable earnings reports today.
Economic Data Out of China Weighs on Oil
Oil prices fell on Monday, with fears over slow energy demand festering on the heels of downbeat Chinese economic data. November-dated crude shed $1.51 ,or 1.6%, to close at $91.13 per barrel.
Gold prices also fell, settling at their lowest level since Sept. 29, as investors continued to lose hope the Fed may change its hawkish stance. December-dated gold lost $34.10, or 2%, to settle at $1,675.20 an ounce.