Dow Jones Slips As Stocks Slide
The Dow Jones Industrial Average is down 1.45% to 16,253.57 as U.S. stocks slide. The Dow Jones fell by more than 200 points. The decline was brought about by declining shares in the technology and energy sector mostly. At the same time, the S&P 500 experienced a decline of 1.39% or 27.37 points to 1,942.04. Meanwhile, the Nasdaq Composite also went down by 1.15% or 55.40 points to 4,756.53.
Global markets were initially feeling good about China as its finance ministry launched a stimulus package to stop the country’s economic slowdown. Meanwhile, CNBC reports that the nonfarm payrolls report released last Friday reflected strong labor conditions that can spur a rate increase. At the same time the U.S. Bureau of Labor Statistics has revealed that the hiring rate went down by 3.5%. Nonetheless, the country had an impressive 5.8 million job openings back in July.
The S&P 500 energy sector fell by 1.94% to 461.89, marking the highest decline among all the sectors. There were declining stock prices seen for Chevron, CLc1 and Exxon Mobil.
Meanwhile, the consumer staples sector fell by 1.74% to 477.24. The health care sector also went down by 1.65% to 801.36, followed by the information technology sector that declined by 1.34% to 664.11.
Apple’s stock declined by 1.9% to $110.15 a the end of trading. Reuters reports that the company had actually just announced the latest version of its Apple TV, which features a voice-controlled remote control and an app store. At the same time, stocks of Apple’s suppliers – Avago Technologies, STMicroelectronics NV and Skyworks Solutions- also went down.
Meanwhile, the CBOE Volatility Index or Wall Street’s ‘fear gauge’ is up 1.33% to 26.23.