Wall Street ends mixed as tech gains counter healthcare and financial losses
After a volatile session on Tuesday, major equity indexes in the U.S. closed the day mixed as the healthcare bill disappointment couldn't hurt the tech-heavy Nasdaq Composite Index.
Without a surprise, the S&P healthcare sector started the day under fire after Republicans failed to pass the bill that would repeal and replace Obamacare. The failure of the bill presents a major concern for investors as it's seen as a clear sign that the Trump administration will struggle to push through the agenda, which includes significant policy changes like the tax reform and the infrastructure overhaul.
"The healthcare bill not coming through raises some continued concerns about the ability of Washington to push through favorable fiscal policies," Lisa Kopp, head of traditional investments at U.S. Bank Wealth Management, told Reuters.
In the meantime, Goldman Sachs reported a 40% decrease in its bond trading revenue, dragging the Dow Jones Industrial Average 55 points, or 0.25%, lower to close the day at 21,574.73 points. After spending the majority of the session under pressure, the S&P 500 recovered its losses in the last hour to close the day virtually flat at 2,459.50. Led by Netflix's record setting 14% rally, the Nasdaq Composite Index added nearly 30 points, or 0.5%, to 6,344.30.
Headlines from the U.S. session:
- US Dollar makes a modest recovery, still headed for lowest close in 11 months
- US Tax revenue deceleration: A warning signal? - Wells Fargo
- Where now for US policy and markets following healthcare failure? - ING
- US Pres. Trump: Disappointed that Republicans did not repeal and replace Obamacare
- Two Republican Senators say "no" to straight Obamacare repeal - Reuters
- US. Pres. Trump: The Senate must go to a 51 vote majority instead of current 60 votes
- US Pres. Trump: Let ObamaCare fail and then come together and do a great healthcare plan
- US: Builder confidence slips two points in July, remains solid - NAHB
- US: Import prices declined 0.2% in June