U.S. Stocks Extend Drop on Growth, Valuation Risks: Markets Wrap
- Morgan Stanley to Citigroup turn cautious on U.S. equities
- Cryptocurrency-linked stocks drop as Bitcoin falls further
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U.S. equities retreated as investors reassessed valuations in light of global economic risks including the spread of the Covid-19 delta variant and reductions in central bank stimulus.
The Nasdaq 100 notched its biggest drop in two weeks, with losses in megacaps including Apple Inc. and Facebook Inc. among the biggest contributors to the decline. The S&P 500 fell for a third day since it closed at a record on Sept. 2. The Dow Jones Industrial Average extended its retreat from last month’s all-time high to more than 1.5%. Europe’s Stoxx 600 dropped to a three-week low. Cryptocurrency-exposed stocks slumped as a selloff in Bitcoin continued.