Markets Mixed Following Private Sector Jobs Report

U.S. equities were mixed following a report from ADP showing the private sector added fewer jobs than expected in February, increasing concerns about a slowdown in economic growth.

Tech stocks were among the biggest decliners. Amazon (AMZN) shares lost 2%, and shares of Apple (AAPL), Meta Platforms (META), and Microsoft (MSFT) dipped 1%. Tesla (TSLA) shares tumbled 3%. Shares of solar companies lost ground. 

Regional bank stocks were in the red. PacWest Bancorp (PACW) shares fell 4%, and shares of First Republic Bank (FRC) dropped 2%. MarketAxess Holdings (MKTX) led the S&P 500 lower as the electronic trading platform posted a decline in first quarter trading volume. Bed Bath & Beyond (BBBY) shares were down as the struggling retailer agreed to a vendor consignment agreement to boost inventory.

Yesterday’s selloff of shares of Caterpillar (CAT), Deere & Company (DE), and United Rentals (URI) continued on worries that an economic pullback may reduce demand for their equipment. That possible slowing of the economy led investors to put their money into so-called safe haven stocks. Shares of Procter & Gamble (PG), Coca-Cola (KO), and Walmart (WMT) were up. Utility company stocks rose, including Xcel Energy (XEL), American Electric Power Company (AEP), and WEC Energy Group (WEC).

Johnson & Johnson Talc Settlement

Johnson & Johnson (JNJ) was the best-performing stock in the Dow after it said it would pay $8.9 billion to settle with thousands of lawsuits that claimed the company’s talc products caused cancer. Raymond James upgraded both UnitedHealth Group (UNH) and Cigna (CI), and their shares and those of other health insurance providers advanced.

Oil futures fell. Gold prices were flat. The yield on the 10-year Treasury note declined. The U.S. dollar gained versus the euro and pound, but slid against the yen. Most major cryptocurrencies traded in the green.