Stocks fell on Tuesday after President Donald Trump instructed White House officials to halt negotiations on further coronavirus stimulus, sparking a sharp reversal in the major market benchmarks.
The Dow Jones Industrial Average retreated 375.88 points to close Tuesday at 27,772.76, following Monday’s 400-point-plus journey upward.
The S&P 500 shed 47.66 points, or 1.4%, to 3,360.97.
The NASDAQ dropped 177.88 points, or 1.6%, to 11,154.60.
At 2:48 p.m. ET, Tuesday afternoon, Trump tweeted: “I have instructed my representatives to stop negotiating until after the election when, immediately after I win, we will pass a major Stimulus Bill that focuses on hardworking Americans and Small Business.”
Shares of Boeing dropped 6.8% to lead the Dow lower. Amazon slid 3.1% while Facebook, Netflix, Alphabet, Microsoft and Apple all declined more than 2%.
Airlines were also under pressure as the industry was hinging on additional aid to avoid more layoffs. United Airlines and Delta were down 3.7% and 2.9%, respectively. American slid 4.5% and Southwest pulled back by 2.4%.
Earlier in the day, Federal Reserve Chairman Jerome Powell once again called for additional fiscal aid, saying it is necessary for the economic recovery to continue.
President Donald Trump left Walter Reed National Military Medical Center on Monday night, though White House physician Dr. Sean Conley acknowledged earlier in the day that Trump “may not entirely be out of the woods yet.”
Prices for the 10-Year Treasury jumped, lowering yields to 0.74% from Monday’s 0.77%. Treasury prices and yields move in opposite directions.
Oil prices added 92 cents to $40.14 U.S. a barrel.
Gold prices slouched $30.10 to $1,890 U.S. an ounce.