Full access to Entrepreneur for $5
Subscribe

Stock Market News for Sep 8, 2021

U.S. stock markets closed mostly lower on Tuesday as investors remained concerned about the impact of the Delta variant of COVID-19 on the economic re...

By
This story originally appeared on Zacks

U.S. stock markets closed mostly lower on Tuesday as investors remained concerned about the impact of the Delta variant of COVID-19 on the economic recovery. However, technology shares boosted the Nasdaq Composite to yet another record closing high. The Dow and S&P 500 closed the day in red while the Nasdaq Composite ended the day in green.

- Zacks

How Did The Benchmarks Perform?

The Dow Jones Industrial Average (DJI) fell 0.8%, or 269.09 points, closing at 35,100.00, continuing its losses from Friday. Notably, 25 components of the 30-stock index ended in red while 5 finished the day in green.

The tech-heavy Nasdaq Composite closed the day at 15,374.33, up 0.1%, a new record high and continuing its winning streak from previous sessions, on the back of strong performance by large-cap technology stocks. The S&P 500 fell 0.3%, closing the day at 4,520.03, maintaining its two-day losing streak. The Industrials Select Sector SPDR (XLI) and the Utilities Select Sector SPDR (XLU) fell 1.7% and 1.3%, respectively. Eight out of eleven sectors of the benchmark index closed in the negative zone and three closed in the green.

The fear-gauge CBOE Volatility Index (VIX) was up 10.5% to 18.14. A total of 9.2 billion shares were traded on Tuesday, higher than the last 20-session average of 9 billion. Decliners outnumbered advancers on the NYSE by a 2.27-to-1 ratio. On Nasdaq, a 1.65-to-1 ratio favored declining issues.

Delta Variant Concerns Weighed on Investors’ Sentiment

The Dow and the S&P 500 declined on Tuesday to begin the holiday-shortened week as investors remained concerned about the Delta variant of the coronavirus and in turn, about the potential slowdown of economic recovery.

Consequently, shares of industrial companies, which are sensitive to economic recovery, edged lower on Tuesday. Shares of major industrials like Deere & Co. DE and Caterpillar Inc. CAT fell 4.5% and 1%, respectively. Deere carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Technology Shares Moved Higher

Technology shares boosted the Nasdaq Composite in Tuesday’s session, moving the benchmark index to yet another record closing high. Investors continued to favor technology companies as uncertainties persist with regard to economic recovery, which could possibly lead the U.S. Federal Reserve in delaying its timetable for lifting the “accommodative” stance of monetary policy and its $120 billion monthly bond buying program.

In any case, the Fed Chair Jerome Powell has assured that interest rate hikes are still at a distance, which should provide a boost to technology companies which tend to benefit from low interest rates.

Shares of heavyweight technology companies like Netflix, Inc. NFLX, Facebook, Inc. FB and Apple Inc. AAPL advanced 2.7%, 1.6% and 1.6%, respectively.

Stocks That Made Headline

Enbridge Inks $3B Deal to Buy Big Oil Export Terminal

Enbridge Inc. ENB has announced the signing of a definitive purchase agreement with EnCap Flatrock Midstream. (Read More)



Zacks’ Top Picks to Cash in on Artificial Intelligence

This world-changing technology is projected to generate $100s of billions by 2025. From self-driving cars to consumer data analysis, people are relying on machines more than we ever have before. Now is the time to capitalize on the 4th Industrial Revolution. Zacks’ urgent special report reveals 6 AI picks investors need to know about today.

See 6 Artificial Intelligence Stocks With Extreme Upside Potential>>



Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

 

Apple Inc. (AAPL): Free Stock Analysis Report

 

Caterpillar Inc. (CAT): Free Stock Analysis Report

 

Netflix, Inc. (NFLX): Free Stock Analysis Report

 

Deere & Company (DE): Free Stock Analysis Report

 

Enbridge Inc (ENB): Free Stock Analysis Report

 

Facebook, Inc. (FB): Free Stock Analysis Report

 

To read this article on Zacks.com click here.

 

Zacks Investment Research