Dow (DE.SXRU), S&P 500 (DE.SXR8) Slide More Than 3% as Investors Reassess Fed Comments - 06 mai 2022
The stock market took its biggest U-turn since the early days of the pandemic Thursday, with the Dow Jones Industrial Average posting its largest decline this year just 24 hours after its largest gain since 2020. The Nasdaq Composite Index fell 647.16 points, or 5%, to 12317.69, the largest one-day percentage decline since June 2020. The S&P dropped 153.30 points, or 3.6%, to 4146.87, and the Dow slid 1063.09 points, or 3.1%, to 32997.97, erasing Wednesday’s gains. The major indexes declined between 7.02 and 9.38 percentage points from Wednesday’s highs to Thursday’s lows, according to Dow Jones Market Data, their largest swings since the first half of 2020.
In the bond market, the yield on the benchmark 10-year Treasury note rose to 3.066%, the highest level since November 2018. Bond prices fall when yields rise. On Thursday, those jitters were seen across the market. Growth stocks were particularly hard-hit. Chip makers Advanced Micro Devices, Nvidia and NXP Semiconductors all declined at least 4%. Megacap technology stocks also pulled back, with Meta Platforms falling 6.8%, Netflix declining 7.7% and Apple slipping 5.6%.
Some of the stocks that were darlings in the pandemic also lost ground. Etsy tumbled 17%, after the online marketplace released guidance below expectations for the current quarter. EBay lost 12% after cutting guidance on the impact from the war in Ukraine. Shares of Wayfair slid, losing 26% after the online home goods retailer posted a bigger-than-expected quarterly loss. Shopify’s first-quarter earnings missed analysts’ expectations, sending the stock down 15%.