The stock market experienced significant declines on February 21, 2025, with the Dow Jones Industrial Average dropping 718 points, or 1.6%. The S&P 500 and Nasdaq Composite also fell by 1.4% and 1.7%, respectively, as economic concerns weighed heavily on investors.
- Stock market slide intensified in afternoon trading.
- Dow down 718 points, 1.6% decline.
- UnitedHealth significantly impacted Dow's decline.
- Consumer sentiment numbers disappointed expectations.
- Upcoming key tech earnings reports next week.
- S&P 500 retreats from record close.
The decline in the stock market was largely driven by UnitedHealth, which accounted for about half of the Dow’s losses with an 8.9% drop. Only 11 of the 30 Dow stocks were rising, indicating widespread weakness across the index. The S&P 500 also showed poor breadth, with only 131 stocks gaining ground.
Key statistics from the trading session included:
- Dow: down 718 points (1.6%)
- S&P 500: down 1.4%
- Nasdaq Composite: down 1.7%
- Invesco S&P 500 Equal Weight ETF: down 0.9%
Consumer staples were the only major sector to rise, while consumer discretionary, industrials, and technology sectors all fell by more than 1%. The latest consumer sentiment data from the University of Michigan and disappointing figures for existing home sales and S&P Global’s Flash US PMI Composite Output Index further fueled market concerns.
Looking ahead, the market is preparing for a busy week with key technology earnings reports and updates on personal consumption expenditures price inflation. These developments come as the S&P 500 continues to retreat from its record close earlier in the week, amid ongoing worries about economic stability and persistent inflationary pressures.
The significant downturn in the stock market on February 21 highlights ongoing economic concerns, particularly surrounding inflation and consumer sentiment. With major earnings reports on the horizon, investors will be closely monitoring how these factors influence market performance in the coming days.
