Markets

Close Update: Immigration Ban Unnerves Wall Street; Travel Stocks Pummeled

The major averages all closed significantly lower Monday after the fallout from a ban on immigrants from seven Middle East countries triggered widespread protests and spooked risk-averse investors who fear a backlash on U.S. companies.

Last week, President Trump signed an executive order suspending entry into the U.S. for 90 days all individuals from Iraq, Iran, Yemen, Syria, Libya, Sudan and Somalia, and put the processing of refugees on hold for three months. The order sparked protests, and raised concerns about Trump's protectionist policies.

Travel stocks, specifically airlines, took the brunt of today's selling pressure, but losses were logged against all eleven sectors of the S&P 500, and nearly all 30 Dow component stocks.

Bullish economic data failed to put a dent in the negative sentiment, and stocks continued to sell off this morning despite better-than-expected income, spending and housing market data. By mid-morning, the Dow was already lower by 200 points and challenging support at the 100- and 200-hour moving averages. As support remained intact, share prices improved marginally, lifting the Dow back over 19,900 and the Nasdaq Composite over 5,600, although both still ended the day with sizable losses.

For Tuesday, the Federal Open Market Committee begins their monetary policy meeting which concludes on Wednesday.

Economic data includes the Q4 employment cost index, November Case Shiller home price index, January Chicago purchasing managers index, and the January Conference Board consumer confidence index.

Here's where the markets stood at the close:

US MARKETS

Dow Jones Industrial Index was down 122.65 points (-0.61%)

S&P 500 was down 13.79 points (-0.60%)

Nasdaq Composite Index was down 47.07 points (-0.83%)

GLOBAL SENTIMENT

FTSE 100 was down 0.92%

Nikkei 225 was down 0.51%

Hang Seng Index was closed

Shanghai China Composite Index was closed

UPSIDE MOVERS

(+) CALA (+46.74%) Enters into collaboration with Incyte ( INCY )

(+) RGSE (+28.33%) Regains Nasdaq compliance

(+) CBAY (+10.18%) H.C. Wainwright raises price target to $6 from $2.50, raised to buy from neutral

(+) EYEG (+9.82%) Reported positive top-line data from first in-human test of ocular bandage

DOWNSIDE MOVERS

(-) OCRX (-70.73%) Misses endpoints in hepatic encephalopathy drug study

(-) RGLS (-42.22%) FDA clinical hold to remain on RG-101

(-) TPX (-28.01%) Supply deal with Mattress Firm terminated

(-) OPB (-25.14%) Swung to a Q4 loss missing profit expectations and despite higher revenues, sells $53 million of shares in private placement

(-) PULM (-21.36%) Will sell $5 million shares to several institutional investors

(-) FIT (-15.95%) Slashed Q4 and FY16 revenue and EPS estimates, issued FY17 guidance below street expectations, announced plans to lay off 6% of workforce

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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