Stocks sank after President Trump scrapped stimulus talks while blasting House Speaker Nancy Pelosi’s $2.4 trillion ask which is well above the $1.6 trillion Mnuchin was pushing for.
The Dow Jones Industrial Average fell nearly 400 points or 1.3%, while the S&P 500 and Nasdaq Composite dropped 1.4% and 1.5%, respectively.
|I:DJI||DOW JONES AVERAGES||27772.76||-375.88||-1.34%|
|I:COMP||NASDAQ COMPOSITE INDEX||11154.603642||-177.88||-1.57%|
“The recovery will be stronger and move faster if monetary policy and fiscal policy continue to work side by side to provide support to the economy until it is clearly out of the woods,” he said during remarks before the National Association of Business Economists.
|XLY||CONSUMER DISCRETIONARY SELECT SECTOR SPDR ETF||147.44||-2.75||-1.83%|
|XLU||UTILITIES SELECT SECTOR SPDR ETF||61.97||+0.52||+0.85%|
Consumer Discretionary stocks led a broad drop in the S&P 500 with the exception of utilities considered a defensive measure for investors.
Trump jumped back into work after being discharged from Walter Reed Medical Center after having contracted COVID-19. The president will continue his treatment for the virus at the White House, his doctors said.
Regeneron remains in focus after Trump used its experimental treatment of its COVID-19 vaccine and he noted today he is “feeling great” in a Tweet.
|REGN||REGENERON PHARMACEUTICALS INC.||581.64||-23.44||-3.87%|
On the economic front, the U.S. trade balance was wider than expected, at $67.1 billion for August. Economists were looking for a $66.2 billion deficit, up from a prior reading of $63.6 billion.
And the closely watched JOLTS job openings figures came in at 6.4 million, slightly less than the 6.5 million estimate, however, July was revised up to 6.7 million.
EARNINGS SEASON KICKS OFF
|LEVI||LEVI STRAUSS & CO.||14.74||-0.27||-1.82%|
The third-quarter earnings season is set to begin on Tuesday, with Paychex, Inc. and clothing manufacturer Levi Strauss & Co. reporting results.
Paychex, which reports prior to the market open, is expected to earn 55 cents a share for its most recent quarter. San Francisco-based Levi Strauss reports after the market closes, with traders looking for earnings of 22 cents a share.
Alphabet’s Google unit announced it would rename its Microsoft Office competitor from G Suite to Google Workplace, along with new pricing tiers to better compete in the marketplace.
|LOGI||LOGITECH INTERNATIONAL S.A.||75.83||-4.94||-6.12%|
Ahead of an expected launch for its new iPhone, speaker and headphones, Apple Inc. has stopped selling rival products in its retail stores, impacting brands such as Bose Corp., Sonos Inc. and Logitech International SA, Bloomberg reported.
The news comes after Cineworld, parent company of Regal, announced plans to suspend over 500 theatres in the U.S. starting Oct. 8, citing “challenging theatrical landscape” tied to COVID-19.
|USO||UNITED STATES OIL FUND L.P.||28.39||+0.46||+1.65%|
|GLD||SPDR GOLD SHARES TRUST – EUR ACC||177.26||-2.16||-1.20%|
Oil moved above $40 per barrel, while gold was little changed at $1,917.30 an ounce.