Stocks finished lower Tuesday as investors were discouraged by a stalemate over fresh government aid and as bank shares declined following earnings reports.
The Dow Jones Industrial Average finished down 157 points, or 0.55%, to 28,679, the S&P 500 was off 0.63% and the Nasdaq edged down 0.1%.
House Speaker Nancy Pelosi said in a letter to her Democratic colleagues that President Donald Trump’s latest stimulus proposal of $1.8 trillion falls short of what’s needed to help Americans struggling during the coronavirus pandemic.
“Tragically, the Trump proposal falls significantly short of what this pandemic and deep recession demand,” Pelosi said in Tuesday’s letter, according to Bloomberg. “Significant changes must be made to remedy the Trump proposal’s deficiencies.”
JPMorgan Chase (JPM) reported stronger-than-expected third-quarter earnings as the bank set aside a much lower amount to cover bad loans amid an improving domestic economy. Citigroup's (C) third-quarter earnings also beat expectations. The shares of the banks declined 1.4% and 4.9% respectively despite the solid results.
Johnson & Johnson (JNJ) fell 2.3% after it paused a trial of a vaccine for Covid-19, the disease caused by the coronavirus, following an unexplained illness in a patient.
The healthcare giant said the trial participant’s illness was being reviewed and evaluated.
"Adverse events - illnesses, accidents, etc. - even those that are serious, are an expected part of any clinical study, especially large studies,” the company said.
The company also reported third-quarter earnings of $2.20 a share, beating analysts' estimates of $1.98. And J&J raised its revenue and earnings guidance for 2020.
Eli Lilly was working on a therapy combination that combined with other treatments would reduce viral load, symptoms and hospitalizations from covid-19.
Apple (AAPL) , meanwhile, launched a lineup of new, 5G-capable iPhone models.
The stock ended down 2.7%.