Tesla's June Rebound Hits a Speed Bump Plus, technology stocks fall on trade worries.
By Andrew Osterland •
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Stock prices fell for a second consecutive day, though losses were modest. The Dow and S&P 500 indexes fell 0.17 percent and 0.20 percent respectively and the Nasdaq Composite was down 0.38 percent thanks to weak technology stocks. The Entrepreneur Index™ closed the day down 0.11 percent.
It was a rough ride for the technology sector. Trade-sensitive chip-maker NVIDIA Corp had the biggest decline in the sector, dropping 3.02 percent. The Trump administration confirmed yesterday that no preparations were being made for a resumption of trade talks with China at the end of the month.
Facebook shares also fell 1.72 percent after the Wall Street Journal reported that the company had found emails linking CEO Mark Zuckerberg to Facebook's controversial privacy practices. The Federal Trade Commission is investigating the company's sharing of user data with Cambridge Analytica and whether that violated a consent decree signed with the agency in 2012. The other FAANG stocks on the index were also down with Netflix (-1.63 percent) falling the furthest.
Tesla's recent strong run hit a big bump today after the company's shareholder meeting yesterday. The stock was up nearly twenty percent in the last ten days but fell 3.61 percent a day after CEO Elon Musk gave his annual review and outlook on the company to investors.
Energy stocks were down after the price of oil fell 4.1 percent today due to worries about trade, global economic growth, and swelling crude oil inventories in the U.S. Hess Corp. was down 2.22 percent and pipeline manager Kinder Morgan fell 1.92 percent.
The apparel makers are pin-balling along with sentiment on the trade outlook. Up strongly yesterday, they were down today. Gap Inc. (-2.52 percent), L Brands (-1.53 percent) and Ralph Lauren Corp. (-1.05 percent) all fell sharply.
Alexion Pharmaceuticals had the biggest gain on the Entrepreneur Index™ today, jumping 3.0 percent. The drug-maker's stock had a torrid start to the year, but fell nearly twenty percent in the last two months. It is still up 23.9 percent on the year.
Other solid gains on the index today included Fedex Corp. (1.21 percent), Chipotle Mexican Grill (1.17 percent) and business services firm Cintas Corp. (1.04 percent).
The Entrepreneur Index™ collects the top 60 publicly traded companies founded and run by entrepreneurs. The entrepreneurial spirit is a valuable asset for any business, and this index recognizes its importance, no matter how much a company has grown. These inspirational businesses can be tracked in real time on Entrepreneur.com.
