Big banks turned sour on big loan worries
Today's midday gains were cut short, as fears surrounding the government shutdown and big banks weighed. Following an incident of borrower fraud and bad loans, most of the banking sector slid into the red, falling from its recent post-earnings pedestal. The Dow backpedaled 301 points, while the tech-heavy Nasdaq handed over its once triple-digit gain for a 107-point drop. The 10-year Treasury yield moved lower alongside the U.S. dollar, while the market's "fear gauge," or Cboe Volatility Index (VIX), shot to its highest level since May.
Continue reading for more on today's market, including:
- Options strategy for traders looking to short sell.
- Struggling networking stock for bear traders.
- Plus, bull signal to watch; Facebook partnership buzz; CRM sees major post-earnings pop.
5 Things to Know Today
- Discussions over the war in Ukraine will continue, as U.S. President Donald Trump and Russian President Vladimir Putin agreed to meet in Budapest, Hungary. (CNBC)
- Around 42 million people are at risk of losing their Supplemental Nutrition Assistance Program (SNAP) benefits in November, should the government shutdown persist. (Bloomberg)
- Flashing bull signal to pay attention to right now.
- Meta partnership sends chip favorite even higher.
- Revenue forecast triggers Salesforce stock surge.
Gold Continues Record-Breaking Win Streak
Oil futures were modestly higher as investors looked to a potential shift in Russian oil imports to India. December-dated West Texas Intermediate (WTI) crude added 0.5%, or 28 cents, to settle at $58.51 per barrel.
Gold continued higher, hitting a fresh record as uncertainty pushed investors to safe havens. December-dated gold futures closed up 2% to settle at $4,288.50 per ounce.