Dow Plunges Below 26,000 after Donald Trump Bashes Fed
By CCN.com: The Dow and broader U.S. stock market declined sharply Monday afternoon, as investors digested President Donald Trump’s latest criticism of the ‘gentleman who loves quantitative tightening,’ a direct reference to Federal Reserve Chairman Jerome Powell.
Dow Plunges; S&P 500 and Nasdaq Follow
All of Wall Street’s major indexes erased gains to end firmly in the red. By the closing bell, the Dow Jones Industrial Average had plunged 206.67 points, or 0.79%, to 25,819.65. The blue-chip index rose triple digits after the open, reflecting a strong pre-market session for U.S. stock futures.
The Dow closed more than 200 points in the red on Monday. | Source: Yahoo Finance
Twenty-eight of 30 index members reported losses. UnitedHealth Group Inc. (UNH) was the Dow’s weakest link, falling 4.12%. Shares of Boeing Co (BA), McDonald’s Corp (MCD), and Walgreens Boots Alliance Inc. (WBA) each fell more than 1.8%.
The broader S&P 500 index of large-cap stocks fell 0.39% to 2,792.81. All 11 primary sectors traded lower, with health care leading the declines. Health stocks were down 1.34% on average. Information technology also fell considerably.
The technology-focused Nasdaq Composite Index also reversed gains, falling 0.23% to 7,577.57.
A measure of expected volatility known as the CBOE VIX surged 7.81% to 14.63. The so-called “fear index” settled near five-month lows on Friday.
