On the first trading day of April, which is also the first trading day of the second quarter, stocks tanked thanks to a combination of anxiety about a trade war, and fears about the tech industry getting hit with regulation.
The Dow Jones industrial average plunged 458.92 points to close at 23,644.19, with Intel as the worst-performing stock in the index. The 30-stock index fell as much as 758.59 and hit a new low for the year on Monday, falling below the low touched during the slide in February.
The S&P 500 dropped 2.2 percent to 2,581.88 and re-entered correction territory, with tech falling 2.5 percent. The index also dropped below its 200-day moving average, a key technical level. The Nasdaq composite dropped 2.7 percent to 6,870.12 as Amazon declined 5.2 percent.
"The market leaders are under pressure," said Marc Chaikin, CEO of Chaikin Analytics. "It's a situation where the proven winners for the past few years are faltering." When that happens, "there is a negative psychological sense in the market."
Source: Bloomberg Pro Terminal
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.