EDITOR'S NOTE
The market had enjoyed a remarkable recovery on hopes for a smooth return to a well-functioning economy, but Texas challenged that optimism on Friday when its governor rolled back reopening plans.
The Lone Star State was among the first to reopen and now it's dealing with a rise in new coronavirus cases and hospitalizations. Cases are increasing in 30 states and the U.S. has hit a record 33,000 for its seven-day average of new infections.
“The resurgence in coronavirus cases is raising concerns that the rebound may be short-lived," said Tom Essaye, founder of The Sevens Report. 
The Dow Jones Industrial Average fell sharply and ended the week with a loss. Many may have sold stocks fearing the possibility of more rollback announcements over the weekend that could drive equities lower next week.
Bank names also fell Friday after the Federal Reserve on Thursday evening announced the results of its stress tests and said it would prohibit stock repurchases and cap dividends for banks in the third quarter.
It appears the V-shaped recovery investors were betting on is now off the table, said Liz Ann Sonders, chief investment strategist at Charles Schwab. "Now as I watch what's happening I think it's more likely to be rolling Ws," she said.
Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world. TOP NEWS
TOP VIDEO
CNBC PRO
SPECIAL REPORTS
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
