ZCZC
BCN-19
US-STOCKS-MARKETS
US stocks dip amid weakness in oil shares
NEW YORK, May 3, 2019, (BSS/AFP) – Wall Street stocks sagged Thursday for
a second straight session, with weakness in petroleum-linked shares dragging
the market further below records earlier in the week.
The Dow Jones Industrial Average dropped 0.5 percent to 26,307.79.
The broad-based S&P 500 shed 0.2 percent, closing at 2,917.52, while the
tech-rich Nasdaq Composite also fell 0.2 percent to settle at 8,036.77.
Both the S&P 500 and Nasdaq closed at records in recent days.
Analysts said the market was still digesting Federal Reserve Chair Jerome
Powell’s comments from Wednesday, which put a damper on expectations for an
interest rate cut anytime soon.
Also, there has been a broad expectation that the market would pull back
at some point after a nearly unbroken run higher through the first four
months of 2019, analysts said.
Adding to that are seasonal factors, with the market historically pulling
back in May, a trend that inspired the adage: “Sell in May and go away.”
Petroleum producers were an especially vulnerable sector, with Exxon Mobil
losing 1.7 percent, Devon Energy 2.8 percent and Marathon Oil 5.8 percent.
Chemical company Dow fell 6.0 percent after projecting lower-than-expected
revenue in the second quarter.
Tesla Motors rose 4.3 percent as it announced it would raise as much as
$2.3 billion in debt and equity to boost its cash position. The news had been
telegraphed by Chief Executive Elon Musk on an April 24 conference call that
sent shares lower.
Food company Beyond Meat more than doubled in its market debut to finish
at $65.75 after an initial public offering priced at $25.
Markets are looking ahead to the all-important US government jobs report
for April, which is due out Friday.
Analysts expect the economy added another 200,000 jobs last month while
the unemployment held steady at 3.8 percent.
BSS/AFP/HR/1100