The stock market showed firm losses near midday Wednesday after President Donald Trump threatened tariffs on an additional $200 billion in Chinese goods. Chevron (CVX) and Caterpillar (CAT) lagged in the Dow, while chip names underperformed in the Nasdaq 100. Micron Technology (MU), Lam Research (LRCX) and Applied Materials (AMAT) were lower by more than 2%.
The Dow Jones industrial average, S&P 500 and Nasdaq composite were all down around 0.6% to 0.7%. The Russell 2000 small-cap index eased 0.5%. Volume on the NYSE and Nasdaq was tracking close to Tuesday’s levels.
U.S. crude oil futures were down 1% to around $73 a barrel after a monthly OPEC report showed Saudi Arabia’s oil production jumped by nearly 500,000 barrels a day in June. Total OPEC production in June increased by 173,000 barrels a day. Meanwhile, the Energy Information Administration early Tuesday said U.S. inventories plunged by 12.6 million barrels last week.
In the health care space, Myriad Genetics soared past a 40.82 buy point, helped by bullish comments from Morgan Stanley.
Stock Market Yields Some Winners
IBD 50 component SVB Financial (SIVB) reversed higher, rising 0.3% as it consolidates gains in orderly fashion.
Leaderboard name Netflix (NFLX) was unfazed by Wednesday’s selling. Shares eased 0.1% ahead of its earnings report Monday after the close.
In economic news, the latest reading on wholesale inflation came in a bit hotter than expected. Overall, June prices rose 0.3%, down from May’s reading of 0.5% but slightly above the consensus estimate for a gain of 0.2%. Excluding food and energy costs, prices rose 0.3%, in line with expectations. Year over year, core prices rose 2.7%.
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