Dow closes nearly 250 points lower, Nasdaq sheds 1% as Alphabet shares slide
Stocks closed lower Thursday, giving up early advances as concerns over the Federal Reserve’s future moves on monetary policy offset excitement around the latest batch of corporate earnings. The Dow Jones Industrial Average lost 249.13 points, or 0.73%, to close at 33,699.88. The S&P 500 slid 36.36 points, or 0.9%, to end at 4,081.50. The Nasdaq Composite saw the greatest dip of the three, dropping 1.02%, or 120.94 points, to end the session at 11,789.58.
Google-parent Alphabet slid more than 4% as investors grew concerned around rising competition in the artificial intelligence space. A 3% decline in Meta also dragged on the technology-heavy Nasdaq Composite.
Disney shares closed more than 1% lower. Earlier, the stock popped after the entertainment giant posted smaller-than-expected subscriber losses at its streaming service along with earnings and revenue that beat analysts’ estimates.
The worries began late Wednesday night after Coinbase CEO Brian Armstrong tweeted about “rumors that the SEC would like to get rid of crypto staking in the U.S. for retail customers.” On Thursday afternoon, reports that Kraken has agreed to shutter its crypto staking operations to settle charges with the SEC. Coinbase shares dropped almost 14%.
Credit Suisse was down nearly 15% in late afternoon trade, at the bottom of the Stoxx 600 index. This morning the bank reported a massive 7.3 billion Swiss francs ($7.9 billion) loss for 2022, worse than the 6.53 billion Swiss franc loss forecast by analysts. It also said it expects a “substantial” loss this year as it carries out a strategic overhaul following multiple corporate failings.
Consumer goods giant Unilever said it would further raise prises on its products in the first half of the year as it looks to repair its gross margin.
Existing price increases have only covered around 75% of the input cost inflation it has faced, according to the company. The stock was up 0.5% on the day in afternoon trade.
Source: CNBC, Investing.com