Investors were mostly selling their positions at the end of a mostly subdued week of trading, which sent the U.S. stocks lower for three consecutive days. Energy stocks led the broad decline, which gathered momentum in the final hour of trading ahead of the long weekend. The decline in the market marked its lowest close for the stock market since February 13 and when several major banks released their quarterly reports that kicked off the company earnings season.
Traders were also considering the potential for rising geopolitical tensions following news, which the U.S. attacked in Islamic state tunnel complex in eastern Afghanistan with the largest non-nuclear weapon ever used in combat by the U.S. military.
Bond yields were still dropping, while Gold was rising on its highest level since November of 2016.
“Investors have plenty of reasons to be cautious and have become more cautious in recent weeks,” said Erik Davidson, chief investment officer at Wells Fargo Private Bank. “The market had a great run and it just hasn’t been given a lot of reasons for much follow-through on that.”
The S&P 500 index was down by 15.98 points or a 0.7 percent and was traded at 2,328.95 while the Dow Jones Industrial Average fell by 138.61 points that is equal to 0.7 percent. The Nasdaq Composite was bearish and lost 31.01 points or a 0.5 percent loss, and was traded at 5,805.15.
The decline deepened the market’s losses for the month.