S&P 500 skids lower Tuesday and misses longest streak of record closes in 66 years as Tesla's stock tumbles 12%

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U.S. stock benchmarks headed solidly lower Tuesday, with the S&P 500 and Nasdaq Composite halting lengthy win streaks that had been a feature of a stock market that appeared to levitate off optimism around third-quarter earnings, despite lingering concerns about out-of-control inflation that have been amplified by supply-chain bottlenecks heading into the holiday season. The Dow Jones Industrial Average closed down 112 points, or 0.3%, to 36,320, while the S&P 500 index ended down 0.4% at 4,685, marking its first decline in nine sessions and narrowly missing its longest string of record closes, nine straight all-time highs, since 1955. On Monday, the S&P 500 marked its longest string of record closes, eight straight, since 1997. Meanwhile, the Nasdaq Composite Index closed lower, down 0.6%, to reach 15,887, for the first time in 12 sessions. A drop in electric-vehicle maker Tesla Inc. (TSLA), down 12% on the session, helped weigh on the broader market. The company’s shares have been under pressure since Tesla CEO Elon Musk signaled that he might sell a sizable slug of his shares. In U.S. economic data, the October producer-price index rose 0.6%, in line with expectations, with the pace of wholesale inflation over the past 12 months flat at 8.6%; but still marking the highest level since the index was reconfigured in 2009, and likely one of the highest readings since the early 1980s. The move for stocks also came as yields for the 10-year Treasury note headed lower to yield 1.431%, down from 1.496% on Monday at 3 p.m. ET.

-Mark Decambre

 

(END) Dow Jones Newswires

11-09-21 1611ET

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