TUESDAY, AUGUST 14, 2018.....
Stocks slipped on Monday as a financial crisis in Turkey that sent its currency tumbling last week worsened, dampening investor sentiment around the world. The Dow Jones Industrial Average fell 127 points, with Goldman Sachs and J.P. Morgan Chase both falling more than 1 percent. The 30-stock index also posted its fourth straight day of losses, its longest losing streak since June.
The S&P 500 declined 0.4 percent as materials and energy lagged. The Nasdaq Composite fell 0.25 percent, but gains in Amazon and Apple rose 1 percent kept losses in check.
Materials dropped 1 percent, led lower by shares of Mosaic, which fell 3.6 percent. Energy shares also fell 1.2 percent as U.S. crude hit a seven-week low.
"Investors are generally going to be more cautious with a story like Turkey out there," said Jennifer Ellison, principal at BOS. "It's going to hold people off from taking significant risk for a short period of time ... but if you take a step back and look at the bigger picture, things are good."
The Turkish lira, which briefly tumbled more than 20 percent on Friday, reached a fresh record low on Monday before regaining some footing.
Tensions between the U.S. and Turkey increased last week after a Turkish delegation returned from Washington with no apparent progress on the detention of U.S. pastor Andrew Brunson, who is charged with supporting a group blamed for an attempted coup in 2016.
Larry Benedict, CEO of The Opportunistic Trader, said the move is being felt across the globe. "Markets across the board going from China all through Europe were lower," he said. Benedict added the market thinks this will work itself out, but added that investors may not be thinking about the potential negatives of the situation.
Emerging-market stocks fell broadly on Monday, with the iShares MSCI Emerging Markets exchange-traded fund (EEM) dropping 1.6 percent. Turkish shares led the way lower as they dropped 11 percent. They plunged more than 14 percent on Friday. European stocks also declined as the Stoxx 600 index pulled back 0.3 percent. The German Dax also slipped 0.5 percent.
Tesla shares rose 0.3 percent after CEO Elon Musk said a Saudi fund wants to take the company private. The stock rose nearly 2 percent after the announcement, but quickly pared those gains.