U.S. stocks followed overseas markets sharply lower Friday in reaction to Britain's shocking decision to exit the European Union. Apple (AAPL), Goldman Sachs (GS) and JPMorgan (JPM) sold off hard in the Dow industrials.
The Nasdaq led the sell-off with a 4.1% drop, while the S&P 500 tumbled 3.6%, and the Dow Jones industrial average shed 3.4%. All three indexes were showed weekly losses of nearly 2%. Volume for the session swelled across the board vs. Thursday, according to preliminary data.
Losers swamped winners by about a 5-1 margin on the NYSE and by 6-to-1 on the Nasdaq. The Dow was a sea of red, with losses of about 7% apiece from Goldman Sachs, JPMorgan and Caterpillar (CAT). American Express (AXP), Boeing (BA), Cisco Systems (CSCO) and IBM (IBM) sank over 5% each. Apple weighed heavily on all three indexes as it gapped down to sink 3% in brisk trade.
West Texas Intermediate crude sank 5% to $47.60 a barrel, while gold prices soared nearly 5% to $1,321.70 an ounce. The 10-year Treasury yield fell 18 basis points to 1.57%.
Online travel firms were the worst performers in the stock market today, as Priceline (PCLN) gapped down with a plunge of 11% to slice its 50-day and 200-day lines in fast trade. The reservation services provider received 67% of its revenue last year from the Netherlands.
Rival Expedia (EXPE) sank 7% in heavy volume to a two-month low, while TripAdvisor (TRIP) lost 6%, also in rapid turnover.
Banks and steel stocks also got hammered. Gold stocks were among the few gainers, as investors fled to safety.
But some stocks shielded from European exposure rose. IBD 50 name Dollar General (DG) reversed upward for a 0.5% gain, and utility services provider WEC Energy Group (WEC) rose 1%. Both stocks are near all-time highs.
Economic data due out Monday include the Dallas Federal Reserve Manufacturing Survey and Markit's Flash Services PMI, both for June, as well as international trade in goods for April.
