U.S. stock indexes closed on session lows as oil prices hit a seven-year high and financials weighed on the S&P 500 ahead of key earnings later this week.
The Dow Jones Industrial Average fell 249 points or 0.72%, while the S&P 500 index and the Nasdaq Composite index declined 0.69% and 0.64%, respectively. The Dow had gained 205 points at its best levels of the day. Trading was light as the U.S. Treasury market was closed for Columbus Day.
|I:DJI||DOW JONES AVERAGES||34496.06||-250.19||-0.72%|
|I:COMP||NASDAQ COMPOSITE INDEX||14486.200385||-93.34||-0.64%|
In stocks, Diamondback Energy Inc., ExxonMobil Corp. and Cabot Oil & Gas Corp. were among the energy companies in focus as West Texas Intermediate crude soared $1.17 to $80.52 a barrel. The energy component early on Monday briefly topped $82, hitting a 7-year high.
|FANG||DIAMONDBACK ENERGY, INC.||110.73||+0.83||+0.76%|
|XOM||EXXON MOBIL CORP.||61.56||-0.62||-1.00%|
|CTRA||COTERRA ENERGY, INC.||21.54||-0.73||-3.28%|
Elsewhere in the space, Chevron Corp. announced it would target zero net emissions for some upstream gas emissions by 2050. A number of other energy companies have already announced plans to reduce greenhouse gas emissions.
Meanwhile, financials including JPMorgan Chase & Co., Goldman Sachs Group Inc. and Wells Fargo & Co. traded lower ahead of earnings due later this week.
|JPM||JPMORGAN CHASE & CO.||166.70||-3.53||-2.07%|
|GS||THE GOLDMAN SACHS GROUP, INC.||385.38||-7.30||-1.86%|
|WFC||WELLS FARGO & CO.||47.25||-0.74||-1.54%|
Southwest Airlines Co. blamed air traffic control problems, bad weather in Florida and staff shortages for more than 1,600 flights being canceled over the weekend.
|LUV||SOUTHWEST AIRLINES CO.||51.63||-2.28||-4.23%|
Merck & Co. said it has applied for emergency use authorization for its COVID-19 tablet. If approved, the drug would be the first oral antiviral drug for the disease.
|MRK||MERCK & CO., INC.||79.95||-0.73||-0.90%|
Honeywell International Inc. raised its business jet delivery forecast for 2022 to 2031 by 1% to 7,400 planes worth $238 billion.
|HON||HONEYWELL INTERNATIONAL, INC.||215.29||-2.41||-1.11%|
Overseas markets were mixed.
European trading was choppy with Britain’s FTSE 100 up 0.72% and France’s CAC 40 ticking higher by 0.16% while Germany’s DAX 30 slipped 0.05%.
In Asia, China’s Shanghai Composite index slipped 0.01%, Japan’s Nikkei 225 rose 1.6% and Hong Kong’s Hang Seng index jumped 1.96%.