Dow Drops Nearly 200 on Eve of Earnings Season

U.S. stocks tumbled on Tuesday as worries over global economic growth dented investor appetite for risk assets and Wall Street braced for June inflation data.

The Dow Jones Industrials faded into the red 192.51 points to 30,981.33.

The S&P 500 ditched 35.63 points to 3,818.80.

The NASDAQ Composite fell 107.87 points, or 1%, to 11,264.73.

Some beaten-up tech bounced on Tuesday but gave up those gains later in the session. Salesforce and Microsoft each fell more than 4% while Amazon, Netflix and Alphabet shed more than%. Twitter shares, which have been volatile after Elon Musk terminated his deal to purchase the social media company, added 4.3%.

Airline stocks rallied on Tuesday after American Airlines said it expects total revenue in the second quarter to top 2019 levels. The stock soared 10% on the news while United jumped 8.1%,, Delt took on 6.2%, and Southwest climbed 4.6%.

Meanwhile, battered cruise stocks Norwegian hiked 5.8%, and Carnival jumped 7.5%. Boeing shares climbed 7.7% as deliveries hit their highest monthly level since March 2019.

All major sectors finished the day in the negative led by energy, which tumbled 2% as oil prices declined on fears of a global slowdown. Halliburton and Devon Energy each dipped about more than 2%.

PepsiCo kicked off the corporate earnings season on Tuesday, reporting a better-than-expected quarterly profit and revenue and raising its revenue outlook for the year. Delta Air Lines and JPMorgan Chase are among the companies slated to report later this week.

Treasury prices gained a bit of turf, lowering yields to 2.97% from Monday’s 2.99%. Treasury prices and yields move in opposite directions.

Oil prices capsized $8.31 to $95.78 U.S. a barrel.

Gold prices lost 20 cents to $1,731.50 U.S. an ounce.