S&P 500 notches fifth day of losses as traders consider recession odds, yields fall; European markets close lower as global sentiment wavers on recession fears
The S&P 500 finished lower for a fifth day as traders weighed the possibility of a recession, and the likelihood of a longer-than-expected hiking cycle from the Federal Reserve. The S&P 500 last traded 0.3% lower. The Dow Jones Industrial Average traded 22 points, or 0.1% lower, despite gains from 3M and Home Depot. The Nasdaq Composite shed 0.6%.
Shares of the online car dealership fell more than 32% after Carvana’s largest creditors signed an agreement to negotiate together with the company. Bankruptcy concerns around Carvana have grown since the company reported disappointing third-quarter results last month. The pact between the creditors was first reported by Bloomberg.
Morgan Stanley, once again, is cutting shipment forecasts for the latest iPhone in the December quarter. The bank trimmed its estimates by another 3 million units, accounting for slowing production in China. Last month, analysts at the investment bank cut estimates by 6 million units. The new expectations anticipate the technology giant will ship about 75.5 million iPhones.
The pan-European Stoxx 600 ended 0.6% lower, with the oil and gas sector down 2% to lead losses. Mining stocks followed, down 1.7%, while health care stocks added 0.7%.
Shares of Airbus dropped 2.6% after the company scrapped its 2022 forecast for aircraft deliveries and adjusted its production ramp-up plans. The planemaker said its target of “around 700” deliveries in 2022 was out of reach but it doesn’t expect to fall “materially short” of the forecast.
Source: CNBC, Investing.com