S&P closes lower as new COVID-19 cases surge
The S&P 500 closed lower on Wednesday as news of spiking pandemic data and the prospect of a new round of economic lockdowns dampened investor optimism over signs of economic recovery.
The S&P 500 and the Dow reversed earlier gains to snap a three-day winning streak. Tech shares led the Nasdaq to a modest gain. Worries over a resurgence in the pandemic’s spread persisted, as new coronavirus cases hit a record in Oklahoma just days before President Donald Trump’s expected campaign rally in Tulsa.
The numbers of new cases are rising sharply in about six U.S. states, according to a Reuters analysis, and authorities in Beijing have ramped up mobility restrictions in their efforts to contain a new COVID-19 outbreak.
“There are periodic points of news flow where the positive news will carry the market and negative news will pressure the market,” said Joseph Sroka, chief investment officer at NovaPoint in Atlanta. “It’s a return of health concerns versus economic optimism.”