Dow's Best Technical Run in 30 Years in Jeopardy as Stocks Slide
The latest bout of stock selling is threatening a streak on the Dow that’s the longest in three decades.
.jpg?auto=format%2Ccompress&w=200)
(Bloomberg) -- The latest bout of stock selling is threatening a streak on the Dow Jones Industrial Average that’s the longest in three decades.
The blue-chip index tumbled 1.5 percent Thursday to slip below its 200-day moving average. A close under that mark would halt a run of 465 days above it, the longest since 1987.
The Dow is the latest major U.S. equity benchmark to fall below the threshold, viewed by many as a long-term trend indicator. The support was broken as Caterpillar sold off amid concern global economic growth is peaking and Goldman Sachs led bank shares lower amid a slump in Treasury yields.
The S&P 500 also capitulated Thursday, falling below its 200-day average on an intraday basis for the sixth time since it tumbled into a 10 percent correction in February.
The Dow was down 338 points to 23,586 as of 11:04 a.m. in New York, more than 150 points below the 200-day level. The 30-member gauge has fallen for five straight days and sits more than 11 percent below its January record.
To contact the reporter on this story: Lu Wang in New York at lwang8@bloomberg.net.
To contact the editors responsible for this story: Jeremy Herron at jherron8@bloomberg.net, Eric J. Weiner
©2018 Bloomberg L.P.