Stocks on Wall Street mostly fell Tuesday as concerns of weak economic data and a new variant of the coronavirus offset optimism stemming from the passage of the nearly $900 billion relief package.
The Dow lost two-thirds percent, and the S&P 500 shed a fifth of a percent. But a rally in shares of Apple helped lift the Nasdaq a half percent.
Multivariate economist Max Wolff says the market lacks a catalyst now that vaccine distribution has begun and the relief package has been passed.
“There’s not much for the markets to look forward to now. The whole markets got to what I've called the 'Tesla problem' right, so when all the things you had hoped to have happen, happen for you, there's always this stunted disbelief right.”
Despite all the hype around Tesla, shares of the electric carmaker lost ground for a second day after joining the S&P 500 index on Monday.
Helping drag the Dow down Tuesday: Amgen. The biotech company’s experimental asthma drug failed to meet the main goal of a late-stage study.
Peloton Interactive was among the biggest movers on the Nasdaq, jumping 12%. The exercise bike manufacturer said it’s buying fitness equipment maker Precor for $420 million in a deal that will boost its badly needed manufacturing capacity.