Stock Market Today, July 29: Stocks Slide on Hawkish Fed and Increased Middle East Tensions | The Motley Fool
TheDow JonesIndustrial Average(^DJI-2. 19%)fell 2. 19% to 51,594, while theS&P 500(^GSPC-1. 52%)lost 1. 52% to 7,316 and theNasdaqComposite(^IXIC-1. 74%)dropped 1. 74% to 24,443 as a hawkish Federal Reserve and. . .
TheDow JonesIndustrial Average(^DJI-2. 19%)fell 2. 19% to 51,594, while theS&P 500(^GSPC-1. 52%)lost 1. 52% to 7,316 and theNasdaqComposite(^IXIC-1. 74%)dropped 1. 74% to 24,443 as a hawkish Federal Reserve and geopolitical tensions in the Middle East pressured equities. IndexS&P 500 IndexToday's Change(-1. 52%)-112. 63Index Level7,316. 15Gold gained 0. 27% to $4,048. 99 as of U. S. market close, and the 10-Year Treasury yield gained 0. 09% to 4. 70%. Energyand consumer defensive stocks were among the few gainers, while industrials fell 3. 42% and technology stocks dropped 2. 36%. Today's biggest movesExxon Mobil CorpandChevron Corprose as oil prices jumped following a surprise escalation of tensions in the Middle East. Caterpillar Inctumbled 6. 91% after an analyst downgrade. Deere & Coalso dropped 4. 52% amid falling agricultural commodity prices and cautious guidance. Meta PlatformsandMicrosoftboth reported after the bell. What this means for investorsThe Federal Reserve held interest rates steady today, as had been expected, but stocks fell as traders digested the news that three officials had voted for a rate hike. A re-escalation of U. S. -Iran tensions and subsequent jump in oil prices added to the pressure on equities. Semiconductor stocksfelt the strain as the South Korean Kospi Index dropped 6%, pulling the Nasdaq 100, which has fallen 10% from its June high, into correction territory. Micron TechnologyandSandiskboth tumbled as AI jitters spread. News thatBerkshire Hathawayreached a record cash position of $397 billion offered another reason for caution. That eye-watering war chest has fueled speculation that the firm Warren Buffett transformed may be readying for a downturn. Emma Newberyhas positions in Berkshire Hathaway. The Motley Fool has positions in and recommends Berkshire Hathaway, Caterpillar, Chevron, Deere & Company , Meta Platforms, Micron Technology, and Microsoft. The Motley Fool has adisclosure policy.