Wall St almost even, trailed by Nike, drop 6% after warning
- Nike slips after lowering its full-year sales estimate
- Crypto firms fall as crackdown in China intensifies
- Indices down: Dow, S&P flat, Nasdaq down 0.2%
NEW YORK, Sept. 24 (Reuters) – The Dow Jones and S&P 500 were little changed on Friday afternoon after a two-day rally, with negative sales forecasts from Nike offsetting gains in financials and energy stocks.
Shares of the sportswear maker (NKE.N) fell 6.2% and were the main drag on the Dow Jones and S&P 500 after it also warned of delays during the holiday shopping season, accusing a tightening of the supply chain. Read more
Shares of shoe retailer Foot Locker (FL.N) fell 7.2%.
However, gains in economically sensitive (.SPNY), financial (.SPSY) and industrial (.SPLRCI) stocks limited the losses.
The S&P 500 was on track to post a slight gain for the week.
“The last few days have shown a marked trend for the market to recover and return to the top,” said Rick Meckler, partner, Cherry Lane Investments, a family investment office in New Vernon, New Jersey.
“There’s a lot to worry about, but at the end of the day short-term rates make it unattractive to invest your money, and bonds seem riskier at these levels than stocks do to many investors. “
Shares fell sharply earlier in the week amid concerns over a default by China’s Evergrande (3333.HK) and its potential risk to global financial markets and also ahead of Wednesday’s Federal Reserve statement.
The Dow Jones Industrial Average (.DJI) fell 1.96 points, or 0.01%, to 34,762.86, the S&P 500 (.SPX) gained 0.61 points, or 0.01%, to 4,449.59 and the Nasdaq Composite (.IXIC) lost 32.69 points, or 0.22%, to 15,019.56.
Investors are also looking for signs of progress on President Joe Biden’s spending and bills. Read more
Additionally, shares of cryptocurrency-related companies Coinbase Global (COIN.O), MicroStrategy Inc (MSTR.O), Riot Blockchain (RIOT.O) and Marathon Patent Group (MARA.O) fell after the Chinese central bank has banned crypto trading and mining. Read more
Falling issues outnumbered advancing ones on the NYSE by a ratio of 1.31 to 1; on the Nasdaq, a ratio of 1.40 to 1 favored the declines.
The S&P 500 posted 18 new 52 week highs and 6 new lows; the Nasdaq Composite recorded 69 new highs and 63 new lows.
Reporting by Caroline Valetkevitch; additional reporting by Devik Jain in Bengaluru; Editing by Maju Samuel and David Gregorio
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