Stocks fall during late-day sell-off
Wall Street experienced more whiplash Wednesday as stocks closed broadly lower, wiping out the market’s gains from the day before.
The S&P 500 fell 78.65 points to 3,236.92. The index is on track for its fourth-straight weekly decline. The Dow Jones Industrial Average lost 525.05 points, or 1.9%, to 26,763.13. The Nasdaq composite slid 330.65 points, or 3%, to 10,632.99. The Russell 2000 index of small company stocks gave up 45.50 points, or 3%, to 1,451.46.
At the center of the market’s big swings have been Apple, Amazon and other Big Tech stocks. They soared through the pandemic on expectations that their growth will only strengthen as the pandemic accelerates work-from-home and other trends that benefit them. But they began falling early this month amid fears that they had grown too expensive.
Wells Fargo CEO issues apology
NEW YORK — Wells Fargo CEO Charles Scharf apologized Wednesday for comments he made about the difficulty of finding qualified Black executives.
Scharf said that “there is a very limited pool of Black talent to recruit from” in corporate America. The memo to employees was written in June, but became public this week.
The comments and similar statements made in a Zoom meeting, reported by Reuters, led to a backlash in Washington and on social media.
Scharf on Wednesday said in a prepared statement that his comments reflected “my own unconscious bias.”
“There is no question Wells Fargo has to make meaningful progress to increase diverse representation,” he wrote.
California plan: Outlaw new gas vehicle sales
SACRAMENTO, Calif. — California will outlaw sales of new gasoline-powered passenger cars and trucks by 2035, Gov. Gavin Newsom announced Wednesday, a move he says will cut greenhouse gas emissions by 35% in the nation’s most populous state.
His plan would not ban people from owning gas-powered cars or selling them on the used car market. But it would end the sales of all new gasoline-powered passenger cars and trucks in the state of nearly 40 million people.
California is the world’s fifth-largest economy and Californians account for more than one out of every 10 new vehicles sold in the U.S.