US stocks fell Friday, as each of the three major indexes capped off losing months. The tech-heavy Nasdaq closed out its worst-performing month since 2008, shedding more than 3% for the day as investors fled the e-commerce giant after downbeat earnings.
"Some investors may be hoping for May flowers after these April showers, but historical tendencies suggest bulls should remain vigilant — down Aprils tend to be followed by down Mays," Chris Larkin, Managing Director of Trading at E*Trade said. "And on top of that, May's average return is even worse when the SPX is red for the year heading into the month."
Mixed tech earnings have weighed heavily on investors, as many pandemic winners begin to deflate in the face of tighter monetary policy from the Federal Reserve.
The Federal Open Market Committee is set to meet next Tuesday and Wednesday. It is widely expected that the central bank will hike rates by 50 basis points, with markets also pricing in a chance of a 75 basis point hike at the June meeting.
Here's where US indexes stood at the market close at 4:00 p.m. on Friday:
Bank of America trimmed its S&P 500 forecast from 4,600 to 4,500, and its analysts said markets are pricing in a one-in-three chance the US economy will enter a recession.
"Some investors may be hoping for May flowers after these April showers, but historical tendencies suggest bulls should remain vigilant — down Aprils tend to be followed by down Mays," Chris Larkin, Managing Director of Trading at E*Trade said. "And on top of that, May's average return is even worse when the SPX is red for the year heading into the month."
Mixed tech earnings have weighed heavily on investors, as many pandemic winners begin to deflate in the face of tighter monetary policy from the Federal Reserve.
The Federal Open Market Committee is set to meet next Tuesday and Wednesday. It is widely expected that the central bank will hike rates by 50 basis points, with markets also pricing in a chance of a 75 basis point hike at the June meeting.
Here's where US indexes stood at the market close at 4:00 p.m. on Friday:
- S&P 500: 4,131.76, down 3.63%
- Dow Jones Industrial Average: 32,978.52, down 2.77% (937.87 points)
- Nasdaq Composite: 12,334.64, down 4.17%
Bank of America trimmed its S&P 500 forecast from 4,600 to 4,500, and its analysts said markets are pricing in a one-in-three chance the US economy will enter a recession.
US stocks crater as the Dow sheds 939 points and Nasdaq notches its worst month since 2008
"Some investors may be hoping for May flowers after these April showers, but historical tendencies suggest bulls should remain vigilant," an analyst said.
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