The Dow Jones Industrial Average, which soared last week topping the 14,000 mark, started this week with a loss of 129.71 points. According to CNBC on Monday, Feb. 4, 2013, the Dow topping the 14,000 point mark last week was a “psychologically important” milestone.
Last week it looked like the stock market was on it’s way to top the Dow’s all-time high from October of 2007. On Friday it was just 155 points away from doing that. The Dow closed today at 13,880.08 and according to CNBC it was dragged down by Travelers and Merck.
The headlines today reflect the worst drop in stocks this year so far, but the year is young, so basically it is the worst drop in a little over a month.
The S&P 500 also had an off day as it lost 17.46 points, closing at 1,495.71 today. Key S&P sectors were led by financials and techs to finish in the negative today. The upward surge in the stock market last week was fueled by renewed hope on Wall Street. The stock market gains seen in recent weeks have spawned a positive outlook toward the economy. This positive outlook was not without caution, according to USA Today last week.