A steep drop in technology companies sent USA stocks sharply lower Monday, knocking off more than 500 points from the Dow Jones Industrial Average. Apple shares tumbled on reports that a parts supplier to the tech giant has seen a drop in orders.
Early in the session, the Dow Jones Industrial Average Index climbed 51 points to 25,438, lifted by Intel, Caterpillar, Visa, Microsoft and Goldman Sachs Group. Apple's decline impeded the tech-heavy Nasdaq, which fell more than 2 per cent. The Russell 2000 index of smaller companies gave up 30.70 points, or 2 percent, to 1,518.79.
The stock market was coming off a two-week winning streak for the benchmark S&P 500.
At the time of writing, the Dow was off 67 points at 25,320, held back by Boeing, Exxon Mobil, Pfizer and Walmart Inc. Brent crude, used to price worldwide oils, picked up 1 percent to $70.91 per barrel in London.
British American Tobacco slumped as much as 9.9% in London, and Altria was down 3% in NY. Stocks appeared to have regained their footing after a skid in October snapped a six-month string of gains for the S&P 500. "With our proven ability to deliver high volumes, years of experience, hundreds of millions of devices in the field, and new product and customer funnel, we remain confident in our leadership position in the nascent market for laser diodes for 3D sensing", said Alan Lowe, President and Chief Executive Officer of Lumentum.
Trudeau says Canadian intelligence has heard tapes of Khashoggi killing
Riyadh has been trying to distance its leadership , particularly Crown Prince Mohammed bin Salman , from the killing. Saudi officials have portrayed Khashoggi's death as a rogue killing ordered by an official who has since been fired.
Oil gained as Saudi Arabia signaled it would cut production in December, but rolled over after President Donald Trump tweeted his displeasure.
KEEPING SCORE: In Europe, Germany's DAX advanced 0.7 percent to 11,409 and France's CAC 40 added 0.4 percent to 5,081.
About 90 percent of S&P 500 companies have reported third-quarter results so far, with some 51 percent of those posting earnings and revenue that topped Wall Street's forecasts, according to S&P Global Market Intelligence. The Philadelphia SE Semiconductor index dropped 4.4 per cent. Brent crude, used to price worldwide oils, lost 81 cents to $69.33 in London. Banks were the hardest hit and the Austraian dollar also took a hammering as the greenback climbed to its highest level against a basket of currencies since June 2017. Facebook gave up 2.5 percent and JPMorgan Chase fell 1.8 percent. Britain's FTSE 100 shed 0.7 percent.
The S&P 500 added 0.06% to settle at 2,727. The Kospi in South Korea dipped 0.3 percent.