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Stock Market

Stocks - Wall Street Weaker on Global Growth Concerns

Investing.com - Stocks started the holiday-shortened week lower Tuesday as concerns about global growth weighed on Wall Street. The Dow fell

Investing.com - Stocks started the holiday-shortened week lower Tuesday as concerns about global growth weighed on Wall Street.

The Dow fell 0.61% at 9:32 AM ET (14:32 GMT), while the broader S&P 500 lost 61%. The tech-heavy Nasdaq Composite dropped 0.73%.

The IMF cut its forecast for global growth on Monday when the U.S. markets were closed in observance of Martin Luther King, Jr. Day.

The IMF predicted the global economy will grow at 3.5% in 2019 and 3.6% in 2020, down 0.2 and 0.1 percentage point respectively from last October's forecasts.

The downgrades reflected weakness in Europe and were on the same day China released data that confirmed its slowest growth rate in 28 years.

A survey by PwC offered investors little hope after it showed 29% of nearly 1,400 CEOs believed global economic growth will decline over the next 12 months, the highest percentage since 2012.

Investors will also be looking for headlines from the sidelines of the World Economic Forum in Davos, Switzerland about the state of the global economy.

Among individual stocks, Johnson & Johnson (NYSE:JNJ) stock fell 2.4% after the company forecast worse-than-expected revenue for 2019.

Tesla (NASDAQ:TSLA) rose 1.2% after its Model 3 received European approval ahead of an expected release date in the region next month.

Chip stocks were on the back foot in the wake of China’s slow growth numbers, with Advanced Micro Devices (NASDAQ:AMD) falling 1.7% and Micron (NASDAQ:MU) losing 2.8%.

And Snap (NYSE:SNAP) stock dipped 0.7% after The Wall Street Journal reported that the company pushed out two senior executives following an investigation that found that one of them had allegedly engaged in an inappropriate relationship with an outside contractor.

-- Reuters contributed to this report.