Wall Street's Losses Mount for a Second Day

Dow dropped 222 points
By Newser Editors and Wire Services
Posted Oct 27, 2020 3:58 PM CDT
Wall Street's Losses Mount for a Second Day
A woman with an umbrella passes the New York Stock Exchange, Monday, Oct. 26, 2020.   (AP Photo/Mark Lennihan)

Wall Street's losses mounted for the second straight day Tuesday as momentum slowed on worries about rising virus counts and Washington's inability to deliver more aid to the economy. The S&P 500 fell 0.3% after spending much of the day swinging between small gains and losses. Most of the stocks in the index fell, particularly banks, oil producers and other companies whose profits tend to track the strength of the economy. Those losses outweighed gains in technology stocks and companies that rely on consumer spending, the AP reports. The S&P 500 fell 10.29 points to 3,390.68. The Dow Jones Industrial Average lost 222.19 points, or 0.8%, to 27,463.19. The Nasdaq composite rose 72.41 points, or 0.6%, to 11,431.35.

The market’s latest pullback, which follows the S&P 500's worst day in more than a month, cuts further into what had been a solid rebound this month after heavy selling in September snapped a five-month winning streak. "Even though we had a really nice runup for a few months, we had been concerned there would be some volatility coming in pre-election, and it’s just a function of the huge uncertainty level," says Lisa Erickson, head of the Traditional Investment Group at US Bank Wealth Management. Wall Street's caution is also apparent in how it's reacting to corporate profit reports. Through the first two weeks of earnings season, companies that reported better results than expected have not been getting the typical pop in their stock price the day after.

(More stock market stories.)

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