Stock market today: Nasdaq slides as bank earnings and credit-card cap talk hit Wall Street
U.S. stocks finished lower Wednesday, with the Nasdaq dropping 1% as tech shares tumbled and bank stocks weakened following mixed quarterly results. The S&P 500 slipped 0.53%, the Dow edged down 0.09%, while consumer staples and energy sectors gained ground. The Russell 2000 hit a record close. Traders are now pricing in at least two Federal Reserve rate cuts by year-end. “After a nice run, and so-so or mediocre earnings, you're seeing profit-taking and consolidation” in banks, said Michael O’Rourke, chief market strategist at JonesTrading. Markets are grappling with a Washington headline that hit just as earnings season kicked off: President Donald Trump suggested a 10% ceiling on credit-card interest rates. The news pressured lenders and card-payment companies. Visa tumbled 4.5%, Mastercard shed 3.8% on Tuesday, as JPMorgan faltered and financial stocks dragged the S&P 500 down. “It seems to be sinking in,” said Tim Ghriskey, senior portfolio strategist at Ingalls & Snyder, though he warned a cap would be “extremely difficult” to implement.