Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

S&P 500 Slips as Rout in Target Triggers Selloff Storm; Dow Down 1,000

Stock Markets May 19, 2022 01:58
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters

By Yasin Ebrahim

Investing.com -- The S&P 500 slumped Wednesday, as big tech resumed its selloff and a rout in Target following weaker-than-expected quarterly results triggered a selloff in retailers.

The S&P 500 fell 3.4%, the Dow Jones Industrial Average slipped 3.1%, or 1,023 points, and the Nasdaq fell 4.3%.

Target Corporation (NYSE:TGT) fell more than 27% after reporting first-quarter earnings that fell well short of estimates, and cutting its guidance on margins, citing ongoing cost pressures.

Lowe’s Companies (NYSE:LOW) also contributed to the gloom, falling about 6%, after reporting mixed quarterly results as revenue and comparable-store sales fell short of Wall Street estimates. 

The quarterly results sparked a selloff in retailers, with Walmart (NYSE:WMT), Costco Wholesale (NASDAQ:COST) and Dollar Tree (NASDAQ:DLTR) down sharply. TJX Companies (NYSE:TJX) bucked the trend lower, rising more than 8% after discount retailer’s quarterly results topped estimates on both the top and bottom lines. 

Big tech pared some of their gains from a day earlier, as investors continued to mull the prospect of the Federal Reserve turning more hawkish on monetary policy tightening.

Fed Chairman Powell said on Tuesday the central bank would “keep pushing” interest rates higher until the pace of inflation cools.

Amazon.com (NASDAQ:AMZN) and Apple (NASDAQ:AAPL) led big tech lower, falling more than 6% and 4% respectively.

Treasury yields, meanwhile, struggled to advance, pressured by safe-haven buying as investors remain concerned about slowing growth amid policy tightening from global central banks.

Energy stocks were down more than 3% after oil prices turned negative as sentiment on the risk assets and strength in the dollar weighed.

Halliburton Company (NYSE:HAL), Marathon Oil Corporation (NYSE:MRO), and APA Corporation (NASDAQ:APA) were among the biggest sector decliners, with the latter down more than 6%.

On the economic front, housing activity continued to slow in the wake of rising mortgage rates.

Housing starts, a gauge of U.S. homebuilding, fell 0.2% in April on the month, to a seasonally adjusted annual rate of 1.724 million.

S&P 500 Slips as Rout in Target Triggers Selloff Storm; Dow Down 1,000
 

Related Articles

Dow futures Little Changed Following Mixed Session
Dow futures Little Changed Following Mixed Session By Investing.com - Jun 30, 2022

By Oliver Gray  Investing.com - U.S. stock index futures were flat during overnight trading Wednesday, following a mixed session among major benchmark averages as investors remain...

Xerox CEO John Visentin Dies Unexpectedly
Xerox CEO John Visentin Dies Unexpectedly By Investing.com - Jun 30, 2022

By Davit Kirakosyan Xerox (NASDAQ:XRX) made an announcement, according to which John Visentin, Vice Chairman and CEO, who joined the company in 2018, passed away unexpectedly...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email