The Dow Jones Industrial Average ended sharply lower Tuesday, with losses gathering steam within the final minutes of trading, as investors pointed to a report on Moderna Inc., as one possible catalyst for the dip for the blue-chip index. Stat News in a Tuesday afternoon report attempted to throw some cold water on an upbeat study released by Moderna (MRNA) about its coronavirus vaccine candidate. The Stat News article ( /) said that the Moderna report on its experimental remedy for COVID-19 lacked sufficient data. The report of early success from the Moderna vaccine candidate was one of the key catalysts for markets soaring a day ago. The Dow closed down by about 391 points, or 1.6%, at 24,207, the S&P 500 index closed down 1.1% at about 2,923 and the Nasdaq Composite Index ended 0.5% lower at 9,185, giving up its gains for the day in the final half-hour of trading. Moderna shares, meanwhile, finished down by 10.4% in late Tuesday action after a 13% surge on Monday which brought it to a record close ( ). Meanwhile, Boston Federal Reserve President Eric Rosengren during a CNBC interview ( ) cautioned that businesses reopening may be "premature" as Americans continue to contend psychologically with the COVID-19 pandemic. Rosengren suggested that demand from consumers may still be an issue as the economy attempts to restart from coronavirus-induced closures. The Fed officials comments come after Fed Chairman Jerome Powell and Treasury Secretary Steven Mnuchin Tuesday morning were grilled by the Senate Banking Committee about why funding from the $2 trillion economic-relief package approved by Congress legislation remains unspent.
-Mark DeCambre; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
May 19, 2020 16:58 ET (20:58 GMT)
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