Stock market today: Dow cuts losses to eke out win as regional banks flex muscles

June 6, 2023 4:15 PM EDT -- The Dow ended the day above the flatline Tuesday after cutting gains into the close as renewed investor appetite for regional banking stocks and a climb in tech helped offset losses in health care stocks.

The Dow Jones Industrial Average was flat, or 10 points higher, and the Nasdaq gained 0.4%, and the S&P 500 was up 0.2%.

Financials was the top performing sector on the day, led by regional banks including U.S. Bancorp (NYSE: USB), Zions Bancorporation (NASDAQ: ZION) and East West Bancorp (NASDAQ: EWBC) as investors appear keen to buy into the weakness seen in the spring.

Alphabet (NASDAQ: GOOGL), meanwhile, helped push tech stocks higher though Apple (NASDAQ: AAPL) continued to trade in the red after unveiling its Vision Pro headsets on Monday.

The higher-than-expected price of $3,499 for the headset could limit adoption and any meaningful boost to revenue in the near term, according to UBS

“[W]ith a starting price of $3,499, roughly $500 above our expectations and an availability date in early 2024, we estimate the impact over the next 12-18 months will likely be no more than 1%-2% of total revenue,” UBS added.

Health stocks were pressured by a slump in Elevance Health Inc (NYSE: ELV), Merck (NYSE: MRK) and Illumina Inc (NASDAQ: ILMN), with the latter down more than 4% as it continues its fight with regulators to save the deal to acquire cancer startup Grail.

Illumina Inc on Monday appealed against a Federal Trade Commission order that demanded the company unwind its $7 billion acquisition of Grail.

Boeing (NYSE: BA), a major dow component, was also a big drag on the market falling less than 1% after the aircraft maker said it would delay deliveries of its 737 Dreamliner jets, citing a production flaw.

In crypto-related news, the regulatory heat turned up a notch as the SEC filed a lawsuit against Coinbase Global (NASDAQ: COIN) accusing the cryptocurrency platform of breaking U.S. regulations, sending its shares 12% lower.

The move comes just a day after the SEC sued Binance, alleging multiple security violations including misappropriating customer funds.

Cryptocurrencies, however, sidestepped the regulatory worries as Bitcoin (BitfinexUSD), ETH/USD and XRP led the broader crypto move higher.

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