Dow streak of records ends, Nasdaq sinks

The Dow Jones Industrial Average ended down 0.1 per cent at 34,742.82.
The Dow Jones Industrial Average ended down 0.1 per cent at 34,742.82.PHOTO: AFP

NEW YORK (AFP) - Tech shares were hammered Monday (May 10) and the Dow finished modestly lower to snap a three-day streak of records and retreat from an intraday jump above 35,000 points.

The topsy-turvy session marked a choppy open to a week that includes upcoming retail sales and consumer price data seen as influential in shaping expectations for US monetary policy.

Industrial names such as Caterpillar and 3M still mustered solid gains, but large tech names like Amazon and Facebook sank.

"It really is kind of a tale of two cities if you will," said JJ Kinahan of TD Ameritrade.

The Dow Jones Industrial Average ended down 0.1 per cent at 34,742.82 after climbing above 35,000 points for the first time ever earlier in the day.

The broad-based S&P 500 shed 1.0 per cent to 4,188.43, while the tech-rich Nasdaq Composite Index dropped 2.6 per cent to 13,401.86.

US stocks had risen on Friday following a disappointing April jobs report that bolstered expectations the Federal Reserve will keep interest rates low for a long period of time to support the economic recovery.

In addition to data on consumer prices and retail sales, this week's calendar also includes a report on producer prices. Numerous consumer and manufacturing companies highlighted rising prices as a challenge in their recent batch of earnings reports.

Among individual companies, Marriott International fell 4.1 per cent after reporting lower than expected revenues. The company said demand "increased rapidly" in the United States and Canada as more people became vaccinated against Covid-19.