Can Facebook and Amazon Save the Stock Market?

The stock market was down today, but FANG stocks were still up.

4 min read

Opinions expressed by Entrepreneur contributors are their own.

Can the FANG stocks save this faltering stock market?

The big technology companies that have led the nearly 10-year bull market in stocks made a stand today, as stock prices across segments of the market fell sharply in morning trading. Facebook, Alphabet Inc., Amazon and Netflix all ended up more than one percent on the day and helped the market recover from intense selling this morning.

In a dramatic reversal, the Entrepreneur Index™, down nearly three percent by late morning, closed the day with a gain of 0.85 percent. The Dow Industrials index was down nearly 800 points before rallying almost 700 points to close down 0.32 percent. The S&P 500 index was down 0.15 percent, while the Nasdaq composite index was up 0.42 percent.

The bond market had another wild day, as investors sold stocks and moved into the safety of U.S. Treasuries in the morning, then reversed course in the afternoon. The 10-year Treasury bond yield was down more than nine basis points to a low of 2.83 percent before closing the day at 2.89 percent.

Technology stocks, led by the FANGs, performed better than the broader market. Most had gains on the day with Netflix posting the largest at 2.74 percent.

The biggest decline on the Entrepreneur Index™ was posted by Rollins Inc., the premier name in termite and pest-control services. With no obvious catalyst, Rollins’ stock was down 5.7 percent today, though it is still up 27 percent for the year.

Kimco Realty Corp. a REIT specializing in shopping centers, had the biggest gain on the index, rising 5.31 percent. With interest rates falling sharply, other high-yielding REITs, including Equity Residential (2.67 percent), Extra Space Storage (3.01 percent) and Simon Property Group (3.0 percent) also posted good gains on the day.

Financial services companies continued to struggle due to fears about the economy. Investment bank Jefferies Financial Group fell 2.73 percent. The market volatility is also hurting asset management companies. BlackRock, down six percent on Tuesday fell another 2.08 percent today. Franklin Resources was also down 2.22 percent after losing nearly three percent Tuesday.

Oil and gas producer Hess Corp. was down 2.82 percent after OPEC members failed to agree to cuts in oil production at their meeting in Vienna today. The cartel delayed its decision until consulting tomorrow with Russia — the second largest producer after the U.S. The price of West Texas crude oil was down 2.33 percent to $51.66 per barrel. Hess Corp.’s stock is down 30 percent since the beginning of October but is still up 11 percent so far this year.

Other stocks posting gains today included Costco Wholesale Group, up 3.03 percent, and active apparel maker Under Armour Inc., which was up 3.13 percent. Homebuilder D.R. Horton Inc. rose 1.87 percent as mortgage rates fell to a two-month low. The stock has been under pressure as interest rates rose and the housing market showed signs of deteriorating.

The about face in the stock market today followed a report in the Wall Street Journal that the Federal Reserve Bank may halt or pause its current policy of interest rate hikes. The Fed’s next meeting is on Dec. 19.

The Entrepreneur Index™ collects the top 60 publicly traded companies founded and run by entrepreneurs. The entrepreneurial spirit is a valuable asset for any business, and this index recognizes its importance, no matter how much a company has grown. These inspirational businesses can be tracked in real time on

Source link

more recommended stories

  • How Digital Marketing Changed the 2016 Presidential Race and Will Change 2020’s.

    As an entrepreneur, there are certain.

  • NFL’s Calvin Johnson and Rob Sims Talk Cannabis: It’s ‘A God-Given Gift’

    Two battered former players who never.

  • 3 Ways AI Can Help Businesses Improve Customer Relations

    The power of AI can lead.

  • 4 Essentials for Complying With the New Data Privacy Regulations

    Consumers need reassurance and protection from.

  • Why This Entrepreneur Says to Check Your Ego at the Door

    July 13, 2019 1 min read.

  • CNBC’s Tim Seymour Talks About Cannabis M&A, Private Vs. Public Markets

    Cannabis is good investment, unless you.

  • 3 Areas Where Enterprise-Focused Startups Are Poised to Make an Economic Impact

    How do you improve efficiency by.

  • What Really Causes Depression?

    Here’s what every entrepreneur needs to.

  • The Unexpected Philosophy That Led Me to My Biggest Closed Deals Ever

    Forget the conventional sales wisdom; if.

  • How This Founder Overcame Challenges He Never Saw Coming

    This entrepreneur and Yale dropout hoped.

  • How to Make Promising Opportunities Come to You

    Grow your business and personal passion.

  • Sacrifice Your Way to Your Dream Job in Sports

    This former mailroom worker talks about.

  • Jay-Z Gets Into the Pot Game

    The legendary rapper/entrepreneur got 99 problems.

  • Fitness Professional Jay Dang on Why Confidence Is the Key to Success

    You have to earn it. July.

  • WarnerMedia’s HBO Max Launches in 2020, and It’s Bringing ‘Friends’

    The streaming service will come loaded.

  • 6 Quotes on Business and Life From Billionaire and 2-Time Presidential Candidate Ross Perot

    The philanthropist died on Tuesday at.

  • Work-Life Balance Is Essential for Entrepreneurs

    If your life is out of.

  • How This Entrepreneur Built a Million-Dollar Business by Focusing on These 3 Strategies

    July 8, 2019 3 min read.

  • USA! Americans Spent $400M on Cannabis for Fourth of July

    Legal marijuana is not yet as.

  • What If Renting an Apartment Were as Easy as Booking an Airbnb?

    AI startup Block wants to make.

  • Back Up Your Whole Team’s Work With Cloud Storage

    Zoolz Cloud Backup has enough space.

  • Taylor Stitch Makes Us Rethink Our Wardrobe

    Most clothes end up in the.

  • The Right (and Wrong) Times to Sell Your Long-Held Stock

    If you’re looking to sell, do.

  • The Emotional Moment That Sparked a Winning Business Idea for This Entrepreneur

    Everence co-founder and CEO Patrick Duffy.

  • Try This for Better Mental Performance

    Staying in ketosis can help you.

  • Check Out the First Job Listing Jeff Bezos Ever Posted for Amazon 25 Years Ago

    The position was for a computer.

  • Keeping Cannabis Safe: A Call for Standardization

    Haphazard product quality testing means there.

  • Make Your Dream Company a Reality With This Class

    Startup pros Ben Lee and Karl.

  • Why Having a VIP Backer Like John Legend Can Boost Your Business

    July 4, 2019 8 min read.

  • Tired of Waiting for Customer Responses? Start Text Messaging to Get Ahold of Anyone, Anywhere in Real Time.

    The world is full of spam..

  • 4 Tech Trends That Are Positively Changing Workplaces

    From reporting bad behavior to allowing.

  • Canopy Growth’s Bruce Linton Out as Co-CEO: ‘My Turn Is Over’

    The resignation might be a sign.