- U.S. stocks plummeted Tuesday as continued signs of weakness in China and concerns about the Federal Reserve weighed heavily on investor sentiment.
- The major averages ended in correction territory, down nearly 3 percent in their third-largest daily decline for 2015. Stocks failed an attempt to cut losses in choppy trade prior to the close.
- In their worst start to September in 13 years, the Dow Jones industrial average and S&P 500 had their worst first trading day of a month since March 2009. The Nasdaq had its worst first trading day of a month since October 2011.
- The Dow closed about 470 points lower, off session after falling as much as 548 points. The Nasdaq composite wiped out gains for 2015, joining the other averages in the red for the year so far.
“Today is just a continuation of last night’s sentiment, plain and simple. Concerns continue to erupt about China’s economy and the growth (as well as the) decline in energy and WTI today,” said Ryan Larson, head of equity trading at RBC Global Asset Management (U.S.).
- Crude oil settled down 7.7 percent, down $3.79 percent, at $45.41 a barrel, giving back much of Monday’s 8.8 percent surge.
- Traders also continued to digest policymaker comments and U.S. data that could impact the timing of a rate hike.
