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U.S. stocks fell Monday following the S&P 500's worst week since March 2020, as investors awaited more corporate earnings results and a key policy decision from the Federal Reserve.
The Dow Jones Industrials thundered lower 738.79 points, or 2.2%, to 33,526.58, falling for a seventh straight day.
The S&P 500 sank 116.64 points, or 2.4%, to 4,281.30,
The NASDAQ let go of 423.99 points, or 3.1%, Monday to 13,344.92, falling deeper into correction territory.
Monday’s pullback put the S&P 500 down more than 9% this month, on pace for its worst monthly decline since March 2020 and worst January performance ever.
The Dow was also headed for its biggest one-month loss since March 2020, falling more than 7%. The NASDAQ, meanwhile, has dropped roughly 14% in January and is on pace for its worst month since October 2008 — when it plunged 17.7%.
Investors are anticipating a slew of high-stakes earnings reports from mega-cap tech companies this week. Microsoft fell 2.5%, Apple lost 2.1 and Tesla pulled back 7.6% ahead of the quarterly reports.
Peloton shares rebounded more than 4% following news that activist investor Blackwells is calling for the interactive fitness company to fire CEO John Foley and to seek a buyer.
Investors are eyeing the Fed’s policy meeting, which wraps up on Wednesday. Market participants will be looking for any signals on how much the central bank will raise interest rates this year and when it will start.
The Federal Open Market Committee, which sets interest rates, meets with expectations that it won’t act at this meeting but will tee up the first of multiple rate hikes starting in March. In addition, the Fed is expected to wrap up its monthly asset purchase program that same month.
Prices for 10-year Treasurys leaped, lowering yields to 1.71% from Friday’s 1.76%. Treasury prices and yields move in opposite directions.
Oil prices slid $2.52 to $82.62 U.S. a barrel.
Gold prices added 70 cents to $1,833.40 U.S. an ounce.
