Stocks Dip Amid Credit Jitters

This article is from the archive of The New York Sun before the launch of its new website in 2022. The Sun has neither altered nor updated such articles but will seek to correct any errors, mis-categorizations or other problems introduced during transfer.

The New York Sun

Wall Street retreated today, taking a break from last week’s big advances, as financial stocks fell amid fresh concerns about soured loans.

With little fresh data to go on today, investor enthusiasm weakening by midsession and sectors from banks to homebuilders showed declines, while technology stocks faring better.

Stocks began to give up their gains after the International Monetary Fund warned the credit upheaval hurting international financial markets would likely be “protracted” and dampen growth of the global economy.

While its stock didn’t fall sharply, General Motors Corp. shares lost ground after the United Auto Workers began its first nationwide strike during auto contract negotiations since 1976.

In addition, the stock market’s pullback might have been expected following gains last week of more than 2.5% in the major stock market averages.

“I think you’re seeing some profit taking after last week’s rally,” a director of investment strategy at Israel A. Englander & Co., Scott Fullman, said. “You have consumer confidence that is something being closely watched, and you’re seeing a general end of quarter nervousness.”

The Dow Jones industrials fell 61.13, or 0.44%, to 13,759.06.

Broader indicators fell, with the Standard & Poor’s 500 index declining 8.02, or 0.53%, to 1,517.73, while the Nasdaq composite index lost 3.27, or 0.12%, to 2,667.95.

Bonds edged higher, with the yield on the benchmark 10-year Treasury note falling to 4.62% from 4.63% late Friday. Treasury prices have fallen since last week’s rate cut as investors moved back into stocks.

The dollar fell against major currencies, hitting a fresh low against the euro, and gold prices rose.

Oil prices fell as a tropical depression in the Gulf of Mexico dissipated without causing damage to key oil and gas infrastructure. A barrel of light, sweet crude settled down 67 cents at $80.95 on the New York Mercantile Exchange.


The New York Sun

© 2025 The New York Sun Company, LLC. All rights reserved.

Use of this site constitutes acceptance of our Terms of Use and Privacy Policy. The material on this site is protected by copyright law and may not be reproduced, distributed, transmitted, cached or otherwise used.

The New York Sun

Sign in or  Create a free account

or
By continuing you agree to our Privacy Policy and Terms of Use