Banks, lenders and other financial companies fell amid fears about the sustainability of the rally in global stocks and bonds.
Some analysts have warned stock prices are entering heady territory, suggesting a correction is on its way. "Positioning, valuations, market internals, survey and transactional sentiment indicators, as well as a qualitative analysis on the positive news already priced in the market versus the potential risks, all suggest that the risk reward at this point is strongly negative," said Lorenzo Di Mattia, manager of hedge fund Sibilla Global Fund.
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Ryan Detrick, senior investment strategist at brokerage LPL Financial, said the Standard & Poor's 500 has traded for the last 10 sessions in an almost unprecedented narrow intraday range.
In one sign of speculative froth, the prices of "cryptocurrencies," little understood and seldom used means of digital exchange such as bitcoin that have drawn many venturesome investors, hovered around new highs.
Rob Curran, email@example.com
(END) Dow Jones Newswires
August 08, 2017 17:42 ET (21:42 GMT)