Spencer Platt
Wall Street’s major indices on Tuesday slid in the first trading session of the new year, weighed down by losses in energy stocks along with a dip in shares of Apple and Tesla.
By mid-day, the tech-heavy Nasdaq Composite (COMP.IND) was down 1.28% to 10,332.11 points. The benchmark S&P 500 (SP500) was lower by 0.89% to 3,805.44 points, while the blue-chip Dow (DJI) declined 0.58% to 32,956.35 points.
Of the 11 S&P sectors, nine were trading in the red, with Energy and Technology the top losers. Communication Services and Financials were the two gainers.
Apple (AAPL) shares retreated more than 4% after a report that it might be cutting MacBook and Apple Watch production levels. The iPhone maker’s market capitalization dipped below $2T.
Tesla (TSLA) fell 13% on a disappointing deliveries report.
U.S. stocks are coming out of a brutal 2022 which saw the benchmark S&P 500 (SP500) slide nearly 20%, its worst annual performance since the Great Recession in 2008.
Treasury yields were mixed on Tuesday. The 10-year Treasury yield (US10Y) was down 4 basis points to 3.79%, while the 2-year yield (US2Y) was up 1 basis point to 4.41%.
Crude (CL1:COM) was down, while the dollar index (DXY) rose 1.10% to 104.63.
Commodities “were among the few assets that ended (2022) in positive territory,” Deutsche Bank said. “But elsewhere, the picture was far less rosy, and just 9 of the 38 non-currency assets in our sample made gains over 2022 as a whole, whilst in USD terms it was just 6 out of 38.”
The economic calendar is light today but picks up later through the week, with JOLTS data on Wednesday and nonfarm payrolls on Friday.
The S&P/Markit PMI for December came in in-line with the consensus at 46.2 but lower when compared to November’s reading of 47.7.
Among other active movers, Canada-based Aurinia Pharmaceuticals (AUPH) was the top percentage gainer on the Nasdaq Composite (COMP.IND) after the company reached a patent challenge settlement with India’s Sun Pharma.