Wall Street falls as post-election winners lag

Record ID: 164507

  • Title: Wall Street falls as post-election winners lag
  • Date: 17th January 2017
  • Summary: NEW YORK, NEW YORK, UNITED STATES (JANUARY 17, 2017) (REUTERS) (SOUNDBITE) (English) KEVIN KELLY, CHIEF INVESTMENT OFFICER OF RECON CAPITAL, SAYING: "A lot more nervousness especially as you've seen other world leaders come out and say hey we are not going to just fold. We are not going to redo these trade agreements you know we are going to really focus and you've got nationalist and protectionist policies at the forefront. Angela Merkel is going to be, try to get re-elected in Q4 of next year. We've got Marine Le Pen coming out in April in France so there is a lot of dynamics going on because that also plays into our foreign policy with NATO which Trump is talking about. So there is so much nervousness when it comes to domestic policies and foreign policies."
  • Embargoed: 31st January 2017 21:16
  • Keywords: Kevin Kelly Recon Capital stocks markets Trump NYSE trading
  • Location: NEW YORK, NEW YORK, UNITED STATES
  • City: NEW YORK, NEW YORK, UNITED STATES
  • Country: USA
  • Topics: Economic Events,Equities Markets
  • Reuters ID: LVA0025ZH0H8N
  • Aspect Ratio: 16:9
  • Story Text: U.S. stocks fell on Tuesday (January 17), with financials, transports and other big post-election gainers losing ground as earnings season kicked into gear.
    Also weighing on stocks were concerns about protectionist trade policies by U.S. President-elect Donald Trump, which pushed the dollar the dollar to its lowest level in more than a month and bond yields down as investors cut risk.
    The S&P 500 financial index, which has rallied since the election on expectations of higher interest rates and reduced regulation under Trump, had its worst day since June 27 and led sector losses. It fell 2.3 percent.
    Morgan Stanley shares fell 3.8 percent even after its profit doubled in the fourth quarter. The bank's finance chief, Jonathan Pruzan, said Morgan Stanley will not increase its quarterly target for the business until it is clear that recent revenue trends were sustainable.
    Biotech and pharma stocks declined after Trump said in a Washington Post interview he would target companies over drug pricing and that he was ready to unveil a plan to replace Obamacare.
    The Dow Jones Industrial Average was down 58.96 points, or 0.3 percent, to 19,826.77, the S&P 500 lost 6.75 points, or 0.3 percent, to 2,267.89 and the Nasdaq Composite dropped 35.39 points, or 0.63 percent, to 5,538.73.
    U.S. stocks have mostly surged since Trump's election on bets that he would usher in an era of economic growth through fiscal stimulus.
    Worries over Donald Trump's economic policies and the potential for U.S. policy errors rose sharply this month, according to a survey of fund managers.
  • Copyright Holder: REUTERS
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