U.S. stocks closed lower Monday, with the S&P 500 and the Dow Jones Industrial Average down for a fourth straight session as the ongoing turmoil in Turkey dampened investors' appetite for riskier assets.
While the U.S. doesn't have much direct economic exposure to the country, instability in the region sparked concerns that its problems could spill over to other parts of the world, exacerbating the uncertainty surrounding trade relations between the U.S. and its major trading partners.
The Dow Jones Industrial Average shed 125.44 points, or 0.5%, to 25,187.70. The S&P 500 fell 11.35 points, or 0.4%, to 2,821.93, with energy and materials sectors among the biggest losers. The Nasdaq Composite Index wove in and out of negative territory all day and finished down 19.40 points, or 0.3%, to 7,819.71.
U.S. investors continued to closely monitor developments in Turkey. The Turkish central bank pledged in a statement Monday to provide “all the liquidity the banks need.” It also said banks would be able to borrow foreign-exchange deposits from the central bank at one-month and one-week maturities. Analysts said Turkey's reluctance to raise interest rates stood out.
Source : Marketwatch