Stocks closed lower on Wednesday as market participants took profits following a red-hot run higher. The Nasdaq Composite was down 0.6% at 16,920, the S&P 500 was off 0.7% at 5,266, and the Dow Jones Industrial Average fell 1.1% to 38,441. UnitedHealth Group (UNH) slumped 3.8% after forecasting “some disturbance” in its Medicaid business.
In single-stock news, Marathon Oil (MRO) jumped 8.5% after ConocoPhillips (COP) agreed to buy the Texas-based exploration and production company in an all-stock deal valued at $22.1 billion, including debt. This is just the latest in a string of merger-and-acquisition (M&A) news coming from the energy sector, with Hess (HES) shareholders recently approving a $53 billion merger with Chevron (CVX).
Chewy (CHWY) also had a standout day, surging 27.1% after reporting higher-than-expected earnings and revenue for its fiscal Q1. The online pet supplies retailer also unveiled a $500 million stock buyback plan.
On the flip side, American Airlines (AAL) took a hit, diving 13.5% after cutting its second-quarter guidance and announcing the departure of its chief commercial officer in June.
Overall, the market continues to see movement and volatility as various sectors experience highs and lows. Stay informed and subscribe to Kiplinger’s Personal Finance for expert advice on investing, taxes, retirement, and more.
