The Nasdaq led stocks lower Monday afternoon as many of the leading sectors were the poorest performers of the day, while tech leaders such as Apple (AAPL) and Amazon.com (AMZN) weighed.
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Stocks started the session lower on news that the U.S. is moving forward with tariffs on some $200 billion in Chinese imports. Later, National Economic Council head Larry Kudlow said new tariffs could be announced “soon,” and the White House is not satisfied with trade talks with China.
Now back below the 8,000 mark, the Nasdaq lost 0.9% and is dropping back near its 50-day moving average. The Invesco QQQ Trust ETF (QQQ), which tracks the Nasdaq 100, was down 0.8% as some of the largest Nasdaq components came under fire.
Apple fell 1.7% after an analyst said orders for the new iPhone XS are off to a slow start. The stock is extended from its 194.30 buy point and consolidating for a couple of weeks. Amazon.com fell more than 2% after the company confirmed that it is investigating data leaks and bribes of employees. Amazon shares fell near the 50-day moving average.
The S&P 500 lost 0.3% as it got some help from some cyclical stocks, such as steelmakers. The Dow Jones industrial average held up better, off just 0.1%. Industrial companies Caterpillar (CAT), 3M (MMM) and DowDuPont (DWDP) had some of the largest gains.
Small caps, where technology companies also have a big representation, were lower too, with the Russell 2000 off 0.8%.
Volume was tracking lower on the NYSE and higher on the Nasdaq compared with the same time Friday. Declining stocks led by a nearly 12-7 ratio on the Nasdaq and by about 9-to-7 on the NYSE.
Transportation stocks, which had been leading the market, fared poorly. Logistics, trucking and shipping groups were down more than 1%. But airlines and transportation-equipment groups surged more than 1.5%.
Internet, software, health care and retail — which also are leading sectors — were out of favor Monday. Industry groups in those sectors crowded the bottom 30 of 197 groups in Monday’s industry performance table.
Some defensive industry groups climbed. Agricultural stocks such as dairy products and fertilizers rallied. Real estate investment trusts and drug wholesalers also gained ground.
Mining stocks also performed well, with the SPDR S&P Metals & Mining ETF (XME) up 1.6%.
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