Stock Market Today: Stocks End Choppy Week With a Loss
A lower-than-expected reading on consumer sentiment had the major indexes erasing weekly gains.
![man with box on head giving thumbs down](https://cdn.mos.cms.futurecdn.net/EcSfxoEjJQC6V8q5HHbA54-415-80.jpg)
U.S. stock markets turned lower in early trading, and stayed in negative territory as the day wore on.
In addition to a lower-than-anticipated preliminary reading on the University of Michigan's consumer sentiment survey (71.0 vs. 72.0 expected), investors also had to contend with a "quadruple-witching" day.
This occurs four times a year – March, June, September and December – and marks the simultaneous expiration of index futures, index options, stock options and individual futures. It can often lead to heavier-than-usual volume and erratic moves in all or parts of the market.
![https://cdn.mos.cms.futurecdn.net/hwgJ7osrMtUWhk5koeVme7-200-80.png](https://cdn.mos.cms.futurecdn.net/hwgJ7osrMtUWhk5koeVme7-320-80.png)
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
By the close, the Dow Jones Industrial Average was down 0.5% at 34,584, the S&P 500 Index was off 0.9% at 4,432 and the Nasdaq Composite had given back 0.9% to 15,043 – with all three indexes erasing their weekly gains.
Next week, all eyes will be on the latest policy announcement from the Federal Reserve, due out on Wednesday afternoon.
Barclays economists "expect the committee to signal that it is prepared to reduce the pace of asset purchases 'later this year' conditional on further progress toward the dual mandate [of inflation and unemployment]." However, they do not believe a formal announcement will come until November or December.
Other news in the stock market today:
- The small-cap Russell 2000 ended 0.2% higher at 2,236.
- M&A buzz helped lift shares of Invesco (IVZ) 5.5% today. Specifically, a report in The Wall Street Journal suggested the financial firm is in talks to merge with State Street's (STT, -2.6%) asset-management division, according to people familiar with the matter. "We are not surprised that IVZ has entered another asset manager's crosshairs," CFRA analyst Catherine Seifert says. "We think the merger of these two firms makes sense, and would enhance STT's already strong exchange-traded fund (ETF) presence. We caution that a potential merger of the number four ETF provider (IVZ) with the third-largest ETF provider (STT), while potentially overtaking Vanguard and the second largest ETF provider, could also raise antitrust issues." Seifert has a Buy rating on Invesco.
- Thermo Fisher Scientific (TMO, +6.5%) got a lift after the medtech company issued upbeat guidance. TMO expects fiscal 2022 earnings of $21.16 per share on $40.3 billion in revenue, well above the $19.68 earnings per share and $34.3 billion in sales analysts, on average, are expecting.
- U.S. crude oil futures slipped 0.9% to $71.97 per barrel.
- Gold futures declined 0.3% to end at $1,751.40 an ounce, marking their third straight loss.
- The CBOE Volatility Index (VIX) jumped 11.3% to 20.81.
- Bitcoin edged up 0.1% to $47,505.29. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m. each trading day.)
Stay the Course With Stocks
Don't let the daily headlines distract you from long-term fundamentals.
There are several reasons to be constructive on stocks, says Tony DeSpirito, CIO of BlackRock's U.S. Fundamental Active Equities, including the return to a more normal, shareholder-friendly distribution of capital. In addition to surging share buybacks – which are reaching 2018's record levels – many publicly traded companies are raising and reinstating dividends.
"Through July, 45% of dividend payers in the Russell 1000 have hiked," DeSpirito notes. "This compares to a full-year average of 61%. At this rate, we estimate over 75% of dividend payers in the index could raise their payout by year-end."
If you want to brush up on the best dividend payers, check out the generous yields in real estate investment trusts (REITs) and healthcare stocks. And there are always the beloved Dividend Aristocrats, companies with a track record of increasing shareholder payouts for the last 25 straight years.
Not sure where to start? Take a look at these five names. This elite list has received top-billing from Wall Street pros based on their current financial situation and future prospects.
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at Schaeffer's Investment Research. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
Why This Economist Thinks the Fed Is Already Late to Cut Rates
Moody's Analytics chief economist Mark Zandi talks to Kiplinger about what he thinks the Federal Reserve is getting wrong on inflation.
By Anne Kates Smith Published
-
If You're the Millionaire Next Door, You May Be a Terrible Spender
Good job on all that great saving. Now you need to start spending some of that hard-earned retirement savings on the things you love.
By Joe F. Schmitz Jr., CFP®, ChFC® Published
-
Stock Market Today: Stocks Tumble on Disappointing Big Tech Earnings
Poorly received quarterly results from Alphabet and Tesla sparked a steep selloff in equities.
By Dan Burrows Last updated
-
Stock Market Today: Mega-Cap Tech Rallies to Drag Markets Higher
Markets focused on upcoming earnings from Magnificent 7 stocks rather than chaos in D.C.
By Dan Burrows Published
-
Stock Market Today: Stocks Tumble After Spectacular Global Internet Crash
Market participants rushed out of risk assets to end a wild week of trading.
By Dan Burrows Published
-
Stock Market Today: Dow Sinks 533 Points as Big Banks, Mega Caps Slump
Goldman Sachs and Apple were two of the worst-performing blue chip stocks on Thursday.
By Karee Venema Published
-
Stock Market Today: Semis Get Slammed and Blue Chips Bounce
The potential for more curbs on tech sales to China set off a rotation into blue chips.
By Dan Burrows Published
-
Stock Market Today: Dow Spikes 742 Points After UnitedHealth Earnings
The S&P 500 and Nasdaq also scored wins Tuesday albeit with much smaller gains than the blue chip Dow.
By Karee Venema Published
-
Stock Market Today: Dow Adds 210 Points as Apple, Goldman Hit New Highs
A big rally in blue chips and some dovish Fed speak boosted the equities market Monday.
By Karee Venema Published
-
Stock Market Today: Markets Bounce Back on Rate-Cut Optimism
The latest readings on consumer sentiment and inflation helped lift the odds of the Fed easing in September.
By Dan Burrows Published