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Close Update: Nasdaq Tumbles Into Bear Market as Stocks Suffer Another Rout

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The Nasdaq Composite Index led US stock market indexes sharply lower and entered a bear market Friday as investors braced for a government shutdown to cap off a week of steep declines for equities.

Major market gauges plunged as President Donald Trump said that the government would be shut for "a very long time" if Senate Democrats voted against funding for a border wall. A turbulent week in Washington, coupled with fears over slowing global growth and rising interest rates, led to a rout for stocks as the year drags to a close.

The Nasdaq is now 22% off its peak, surpassing the traditional definition of a bear market. The S&P 500 is 17.8% off its peak, while the Dow is 16.7% off its high.

For the week, the Nasdaq swooned 8.4%, while the Dow Jones Industrial Average tumbled 6.9% and the S&P 500 slumped 7%.

Stocks earlier in the session climbed when NY Fed President John Williams said on CNBC in part that the economy was in good shape. However, gains were short-lived and stocks spent a good portion of the day in negative territory.

The losses were deep and widespread, with technology and consumer discretionary shares among the leaders on the downside.

US MARKETS

Dow Jones Industrial Average was down 414.23 points (-1.81%)

S&P 500 was down 50.84 points (-2.06%)

Nasdaq Composite Index was down 195.41 points (-2.99%)

GLOBAL SENTIMENT

FTSE 100 was up 0.14% to 6,721.17

Hang Seng Index was up 0.51% to 25,753.42

Shanghai China Composite Index was down 0.79% to 2,516.25

UPSIDE MOVERS

(+) MICT (+178%) Merging with Brookfield Interactive and ParagonEx to form a new company

(+) CDXC (+25.98%) Announced global commercial partnership with Nestle for Tru Niagen

(+) NKE (+7.17%) Reported better-than-expected Q2 results

DOWNSIDE MOVERS:

(-) TCON (-32.02%) TRC105 trial missed primary endpoint

(-) PRGO (-29.28%) Received $1.87 billion Irish tax bill

(-) CAMP (-6.7%) Beat Q3 EPS estimates but issued soft Q4 guidance

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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