Stocks fell on Monday as energy stocks retreated on falling oil prices and Boeing Co slid after it issued a profit warning, giving investors jitters ahead of key earnings reports this week.
Adding to concern over earnings season Boeing Co
Shares of General Motors
A lot of what happens this week will depend on the earnings of those financial companies, said Hugh Johnson, chief investment officer of Johnson Illington Advisors in Albany, New York
Every professional investor knows you cannot sustain the kind of moves we've had in the last five weeks, so having corrections in the early stages is more than predictable.
The Dow Jones industrial average <.DJI> dropped 113.90 points, or 1.41 percent, to 7,969.48. The Standard & Poor's 500 Index <.SPX> fell 9.02 points, or 1.05 percent, to 847.54. The Nasdaq Composite Index <.IXIC> lost 21.45 points, or 1.30 percent, to 1,631.09.
The S&P 500 closed out a five-week rally on Friday which boosted the broad-based stocks gauge 25.7 percent from closing lows on March 9. However, the index is still down 5.9 percent on the year.
Boeing, the chief drag on the Dow, fell 6.3 percent to $36.68. Barclays cut its price target on the stock to $50 from $66 on Monday morning.
Bank stocks added to gains seen on Thursday, following upbeat preliminary results from Wells Fargo & Co. The KBW Bank index <.BKX> up 3.5 percent. Citigroup
On Nasdaq, Qualcomm
In merger news Express Scripts Inc
(Additional reporting by Leah Schnurr)
(Editing by Theodore d'Afflisio)