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US market close: Dow dives 540 points

21:23, 18 January 2022

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Dow Jones off 540 points in Tuesday trading - Photo: Shutterstock

The Dow Jones Industrial Average declined 543 points, or 1.51%, to extend its three-session losing streak, the S&P 500 slipped 1.84%, while the Nasdaq Composite went down 2.60% on Tuesday.

Halfway through the session, the Dow was down around 1.48%, the S&P was down roughly 1.50%, and the Nasdaq declined about 1.78%.

Tech stays down

After starting the day in negative territory, afternoon trading did little to turn the session around for major tech stocks as shares of Adobe dipped 1.39%, Apple fell 1.89%, and Meta Platforms slipped 4.14%.

In other tech stocks, Microsoft fell 2.43% and Amazon was down 1.99%.

In social media stock, shares of Twitter have fallen 2.99%, Snap has plummeted 6.15% and Pinterest has lost 3.44%.

Elsewhere in the technology sector, shares of Advanced Micro Devices (AMD) are down 3.62%, while Nvidia was 3.86% lower and Intel dropped 1.69%.

Following reports the Biden Administration was investigating Alibaba to determine if the e-commerce company is a risk to national security, US listed shares for the Chinese-based company are down 2.26%, after falling 0.35% at the halfway point.

In the banking sector, shares of Wells Fargo are off 2.34%, Citigroup is down 2.43%, and JPMorgan is 4.20% lower.

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Oil: Best since 2014

Oil futures went higher on Tuesday as West Texas Intermediate crude for February delivery rose $1.61, or 1.9%, to settle at $85.43 a barrel on the New York Mercantile Exchange, while March Brent crude tacked on $1.03, or 1.2%, to end at $87.51 a barrel on ICE Futures Europe.

In energy stocks, shares of Hess are 0.41% better, while Chevron is 0.33% higher.

Gold: Yellow metal recedes

Gold futures fell despite hitting small gains midway through the session.

February gold lost $4.10, or 0.2%, to settle at $1,812.40 an ounce after trading as high as $1,822.40.

Forex: Yield two-year best

On Tuesday, one US dollar equals $1.25 of the Canadian dollar, $0.88 of the euro, and $0.74 of the Pound sterling.

The yield on the benchmark 10-year Treasury went up to 1.827%, its highest level in two years.

Read more: Bitcoin trades below $42,000 as interest softens

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The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
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