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Stocks closed slightly lower on Monday as investors digested mixed quarterly numbers from big banks like Goldman Sachs and Citigroup.
The Dow Jones Industrial Average shied away from the breakeven line by 27.53 points to 26,384.77
The S&P 500 shed 1.83 points to 2,905.58.
The NASDAQ Composite slid 8.15 points to 7,976.01
Goldman Sachs reported better-than-expected earnings as the bank kept compensation in check, but its revenue came in below analyst expectations as sales from its institutional clients division dropped by 18%. Shares of Goldman dropped 3.8%, posting its biggest one-day decline since Dec. 21.
Meanwhile, Citigroup earnings topped expectations as the company repurchased more than $4 billion in stock. However, a 20% fall in its equity trading division contributed to a 2% fall in overall revenue, which disappointed analysts. Citigroup shares dipped 0.1%.
Goldman Sachs and Citigroup released their earnings after J.P. Morgan Chase and Wells Fargo posted their results on Friday. J.P. Morgan Chase’s numbers lifted the broad market on Friday, with the Dow gaining more than 260 points. Wells, meanwhile, fell on a profit warning from its chief financial officer.
Despite the varied results from the big banks, the overall earnings season is off to a solid start. Of the companies that have reported, 85% have topped analyst earnings expectations
Other companies that reported quarterly earnings on Monday include Charles Schwab and M&T Bank.
Wall Street also pored through the latest news on the trade front. Treasury Secretary Steven Mnuchin said Sunday the U.S. is willing to take a penalty if it does not comply with a China trade deal once the two countries reach one. However, Mnuchin said Monday the two sides had a lot of work left ahead of them.
Prices for the benchmark 10-year U.S. Treasury were slightly higher, lowering yields to 2.55% from Friday’s 2.56%. Treasury prices and yields move in opposite directions
Oil prices sank 38 cents to $63.51 U.S. a barrel.
Gold prices plunged $4.40 to $1,290.80 U.S. an ounce.
