Wall St declines as Amazon, Intel fall; trade worries persist

Wall St declines as Amazon, Intel fall; trade worries persist

By Chuck Mikolajczak

NEW YORK (Reuters) - U.S. stocks dipped on Thursday as a U.S. Supreme Court ruling on state sales tax collection pulled Amazon and other online retailers lower while industrials continued to falter on concerns over trade war concerns.

Amazon dropped as much as 1.9 percent after the ruling, which allows states to force online retailers to collect sales taxes, before paring losses to trade down 0.9 percent. Wayfair lost 0.7 percent, Overstock.com tumbled 6.5 percent, Etsy declined 1.0 and Ebay dropped 3.2 percent.

"You have seen the tug of war as far as investors are concerned with the trading ranges since the announcement, it would appear it is still to be determined the absolute level of ramifications," said Eric Wiegand, senior portfolio manager at U.S. Bank Private Wealth Management in New York.

Intel also weighed heavily on the S&P 500, down 2.0 percent after Chief Executive Officer Brian Krzanich resigned following a probe that revealed a past consensual relationship with an employee violated company policy.

Big U.S. manufacturers and automakers were under pressure after Germany's Daimler cut its 2018 profit forecast and BMW said it was looking at "strategic options" because of a trade war between the U.S. and China.

Caterpillar lost 2.19 percent and Boeing declined 1.4 percent, with the S&P industrials <.SPLRCI> off 1.00 percent and on track for their seventh fall in eight sessions.

"Our feeling had been there is some complacency built in to that expectation that it is more ploy than policy. But one of the first cracks in that argument right now is the Daimler announcement," said Weigand.

The Dow Jones Industrial Average <.DJI> fell 161.44 points, or 0.65 percent, to 24,496.36, the S&P 500 <.SPX> lost 13.92 points, or 0.50 percent, to 2,753.4 and the Nasdaq Composite <.IXIC> dropped 54.74 points, or 0.7 percent, to 7,726.78.

The price-weighted Dow index is heavily affected by industrial companies and trade concerns pushed the index into negative territory for the year earlier this week, with the index on pace for its eight straight decline.

Ford fell 1.60 percent, General Motors dropped 2.06 percent and Tesla declined 3.75 percent. The S&P 500 automobiles and components index <.SPLRCAU> slumped 1.77percent.

Energy <.SPNY> was the worst performing sector, down 1.86 percent as oil prices fell ahead of a meeting of the Organization of the Petroleum Exporting Countries, where producers are expected to boost output.

Earnings were a bright spot, with Darden Restaurants surging 14.64 percent and grocer Kroger jumping 9.74 percent after issuing strong quarterly results.

Declining issues outnumbered advancing ones on the NYSE by a 2.07-to-1 ratio; on Nasdaq, a 2.23-to-1 ratio favoured decliners.

The S&P 500 posted 24 new 52-week highs and 9 new lows; the Nasdaq Composite recorded 118 new highs and 33 new lows.

(Reporting by Chuck Mikolajczak; Editing by Chizu Nomiyama)

This story has not been edited by Firstpost staff and is generated by auto-feed.


Updated Date: Jun 22, 2018 02:05 AM

Also Watch

Social Media Star: Abhishek Bachchan, Varun Grover reveal how they handle selfies, trolls and broccoli
  • Monday, July 16, 2018 It's a Wrap: Soorma star Diljit Dosanjh and Hockey legend Sandeep Singh in conversation with Parul Sharma
  • Monday, July 16, 2018 Watch: Dalit man in Uttar Pradesh defies decades of prejudice by taking out baraat in Thakur-dominated Nizampur village
  • Monday, July 16, 2018 India's water crisis: After govt apathy, Odisha farmer carves out 3-km canal from hills to tackle scarcity in village
  • Sunday, July 15, 2018 Maurizio Sarri, named as new Chelsea manager, is owner Roman Abramovich's latest gamble in quest for 'perfect football'

Also See