The US markets ended in red on Tuesday with Dow Jones settling down by over a percent due to a decrease by shares of Home Depot (HD), with the home improvement retailer falling by 2.2 percent. Home Depot slipped after the company reported weaker than expected first quarter revenues and lowered its full-year guidance. Notable declines by Dow components Nike (NKE), 3M Co. (MMM) and Amgen (AMGN) also weighed on the blue chip index. The ongoing concerns over the U.S. debt ceiling too added pressure on the markets as President Joe Biden meets with top congressional leaders. While Biden has called for a clean bill to raise the debt ceiling, Republicans are pushing for spending cuts as well as increased work requirements for social safety net programs.
On the economic data front, the Commerce Department said retail sales rose by 0.4 percent in April after falling by a revised 0.7 percent in March. Street had expected retail sales to climb by 0.7 percent compared to the 1.0 percent slump originally reported for the previous month. Excluding an increase in sales by motor vehicle and parts dealers, retail sales still rose by 0.4 percent in April after sliding by 0.5 percent in March. The rebound in ex-auto sales matched street estimates. A separate report from the Federal Reserve showed industrial production climbed by 0.5 percent in April, while revised data showed production was unchanged in each of the two previous months. Street had expected industrial production to come in unchanged compared to the 0.4 percent increase originally reported for the previous month.
Dow Jones Industrial Average fell 336.46 points or 1.01 percent to 33,012.14, Nasdaq lost 22.16 points or 0.18 percent to 12,343.05 and S&P 500 was down by 26.38 points or 0.64 percent to 4,109.90.
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