Nasdaq falls 1% for three-day losing streak after weak economic data: Live updates

The Nasdaq Composite fell on Wednesday for a third-straight losing session as investors shifted away from growth stocks amid signs that the U.S. economy is weakening.

The tech-heavy index sank 1.07% to 11,996.86, while the broad-based S&P 500 dipped 0.25% to 4,090.38. The Dow Jones Industrial Average added 80.34 points, or 0.24%, to close at 33,482.72, bolstered by an outperformance by health-care stocks.

Wednesday’s moves came as traders mulled over the latest ADP private payrolls report, which showed slowing job growth in March. That followed Tuesday’s job openings report that suggested the Federal Reserve’s efforts to cool the labor market might finally be having an effect. In February, the number of available positions fell below 10 million for the first time in nearly two years.

The three major averages retreated on Tuesday, snapping four-day winning streaks for the Dow and S&P 500. Equities rose during the first quarter but remain well below their all-time highs.

“Directionally, I think the move higher made sense, but at the same time the course is not yet clear,” said Angelo Kourkafas, an investment strategist at Edward Jones. “We doubt the market will whistle through any potential economic slowdown and growth concerns, which we have seen over the past two days.”

High-growth tech stocks were under pressure on Wednesday, with Zscaler and CrowdStrike falling 8.3% and 6.6%, respectively. Chip stocks were also under pressure, with Advanced Micro Devices falling more than 3%.

The defensive tilt of the market helped health care stocks outperform, boosting the Dow. Johnson & Johnson shares rose 4.5% after the pharmaceutical company said Tuesday it would pay $8.9 billion over the next 25 years to settle claims that its talc products caused cancer. Utilities stocks also outperformed.

U.S. Treasury yields fell on Wednesday, but the potential for further rate hikes from central banks is contributing to market volatility. New Zealand’s central bank overnight hiked rates by 50 basis points, noting that inflation was “too high and persistent.” Meanwhile, Cleveland Fed President Loretta Mester said Tuesday night that she thought the U.S. central bank still needs to raise rates further.