Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

S&P 500 struggles for direction as regional banks rebound, but health care weighs

Published 06/06/2023, 02:19 PM
Updated 06/06/2023, 03:16 PM
© Reuters.

Investing.com -- The S&P 500 slipped between gains and losses Tuesday as investors digested a slip in health care stocks and renewed investor appetite for regional banking stocks.

The S&P 500 was up 0.2%, the Dow Jones Industrial Average fell 0.1%, or 36 points lower, and the Nasdaq gained 0.4%.

Financials were the top performing sector on the day, led by regional banks including U.S. Bancorp (NYSE:USB), Zions Bancorporation (NASDAQ:ZION) and East West Bancorp (NASDAQ:EWBC) as investors appear keen to buy into the weakness seen in the spring.

Microsoft Corporation (NASDAQ:MSFT) and Alphabet (NASDAQ:GOOGL), meanwhile, helped push tech stocks higher though Apple (NASDAQ:AAPL) continued to trade in the red after unveiling its Vision Pro headsets on Monday.

The higher-than-expected price of $3,499 for the headset could limit adoption and any meaningful boost to revenue in the near term, according to UBS

“[W]ith a starting price of $3,499, roughly $500 above our expectations and an availability date in early 2024, we estimate the impact over the next 12-18 months will likely be no more than 1%-2% of total revenue,” UBS added.

Health stocks were pressured by a slump in Elevance Health Inc (NYSE:ELV), Merck (NYSE:MRK) and Illumina Inc (NASDAQ:ILMN), with the latter down more than 4% as it continues its fight with regulators to save the deal to acquire cancer startup Grail.

Illumina Inc (NASDAQ:ILMN) on Monday appealed against a Federal Trade Commission order that demanded the company to unwind its $7 billion acquisition of Grail.

Boeing (NYSE:BA), a major dow component, was also big drag on the market falling 2% after the aircraft maker said it would delay deliveries of its 737 Dreamliner jets, citing a production flaw.

In crypto-related news, the regulatory heat turned up a notch as the SEC filed a lawsuit against Coinbase Global (NASDAQ:COIN) accusing the cryptocurrency platform of breaking U.S. regulations, sending its shares more than 12% lower.

The move comes just a day after the SEC sued Binance, alleging multiple security violations including misappropriating customer funds.

Cryptocurrencies, however, sidestepped the regulatory worries as Bitcoin (BitfinexUSD), ETH/USD and XRP led the broader crypto move higher.

Latest comments

Mitch the joke is on you......
2PM sharp, and the "late trade" magic show commences.  Another loss miraculously vanishes into thin air.  BIGGEST INVESTMENT JOKE IN THE WORLD.
What happened to "late trade"?
another caned remark from Mitch, does he even look at how the market closes..... Mitch, people are laughing at you........
2 pm is 69% into the trading day.  That's mid-day, not "late".
I assume a skip will guarantee an increase in already severely overvalued stocks.
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.