Stock Market Today: Stocks Drop on Russia-Ukraine, Fed Uncertainty
Today's batch of Fed presenters failed to give specifics on the central bank's rate-hike plans.


Stocks were dragged lower for a second straight day after several U.S. officials issued warnings that Russia could attack Ukraine in the next several days.
Also, presentations by several members of the Federal Open Market Committee left investors wanting for more detail about the central bank's impending tightening plans.
Among them was New York Fed President John Williams, who, while speaking at a New Jersey City University event, said "it will be appropriate to raise the target rate" in March but didn't specify by how much.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Also in focus today was data from the National Association of Realtors that showed existing-home sales climbed 6.7% month-over-month in January to a seasonally adjusted annual rate of 6.5 million units.
This was the biggest sequential rise since July 2020, says Jennifer Lee, senior economist at BMO. And the gains were broad-based across both categories of homes and regions in the U.S. According to Lee, this is likely indicative of "the rush to get in before borrowing costs move higher. The Fed's communication has been crystal clear on that front … warning that higher rates are just around the corner."
At the close, the Nasdaq Composite was down 1.2%% at 13,548, the S&P 500 Index was off 0.7% at 4,348 and the Dow Jones Industrial Average ended with a 0.7% loss at 34,079 – though all three indexes finished off their session lows.
As a reminder, the U.S. stock market will be closed Monday in observance of Presidents' Day.
Other news in the stock market today:
- The small-cap Russell 2000 gave back 0.9% to end at $2,009.
- U.S. crude futures shed nearly 0.8% to settle at $81.07 per barrel.
- Gold futures slipped 0.1% to $1,899.80 an ounce.
- Bitcoin fell 2.2% to $40,032.78. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.)
- DraftKings (DKNG) plunged 21.6% after the sports betting company reported earnings. In its fourth quarter, DKNG reported a slimmer-than-expected adjusted loss of 35 cents per share on higher-than-anticipated revenue of $473 million. But the firm said it expects a fiscal 2022 adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) loss of $825 million to $925 million, wider than what Wall Street is projecting. "DraftKings is facing intense pressure from newer entrants in the mobile sports betting space from established brands like Caesars and BetMGM," says Jonathan Dube, executive in residence at investment bank Progress Partners. "Investors will be watching new state rollouts aggressively. The recent rollouts in New York and Louisiana have pushed off projected profitability from Q4 2022 to at least Q4 2023, according to the latest guidance, due to intense competition and high marketing costs."
- Roku (ROKU) was another post-earnings loser, shedding 22.3% after the streaming giant's fourth-quarter results. ROKU recorded adjusted earnings of 17 cents per share for the three-month period, higher than the 9 cents per share analysts were anticipating. However, fourth-quarter revenue of $865.3 million fell short of the $894 million expected by Wall Street and the company offered up current-quarter revenue guidance below analysts' consensus forecast. "After its relatively lackluster fourth-quarter results, ROKU sees global supply-chain disruptions and inflationary pressures still weighing on its 2022 active account growth and video monetization in some ad categories," says CFRA Research analyst Tuna Amobi, who maintained a Hold rating on the stock. "Still, we think ROKU remains relatively well-positioned for an accelerated secular shift to streaming from traditional TV, likely to bode well for longer-term audience engagement."
What Corporate America is Really Talking About
While the stock market may be worried about a potential Russian invasion of Ukraine, S&P 500 companies don't seem to be.
"During each corporate earnings season, it is not unusual for companies to comment on subjects that had an impact on their earnings and revenues in a given quarter, or may have an impact on earnings and revenues in future quarters," says John Butters, senior earnings analyst at FactSet.
But in a search of all S&P 500 firms that had earnings conference calls between Dec. 15 and Feb. 17, "Ukraine" was cited in just 4% of those calls. "By contrast, 72% of S&P 500 companies have cited 'inflation' on earnings calls over this same period," Butters adds.
While companies often have options in combating higher inflation, so too do investors. One potential way to guard a portfolio against inflation risk is with defensive, dividend-paying plays such as healthcare stocks or real estate investment trusts (REITs).
Another is to consider consumer staples stocks, which tend to hold up during periods of higher prices. Read on as we look at some of the best consumer staples stocks for 2022, many of which offer investors some level of defense against rising prices.
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at a local investment research firm. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
Ask the Editor: Four Reader Tax Questions
Ask the Editor In our new Ask the Editor series, Joy Taylor, The Kiplinger Tax Letter Editor, answers questions related to filing of tax returns and paying taxes.
By Joy Taylor Published
-
These Eight States Have the Most Expensive Home Insurance in 2025
If you live in one of these eight states, you’re probably paying $1,000 or more above the national average for home insurance.
By Rachael Green Published
-
Stock Market Today: It's Going to Stay Choppy for Stocks
Auto-focus can show us a lot about uncertainty on the ground and in the stock market.
By David Dittman Published
-
Stock Market Today: Auto Tariffs Send Stocks Lower
The main indexes snapped their win streaks after the White House confirmed President Trump will talk about auto tariffs after the close.
By Karee Venema Published
-
Stock Market Today: Stocks Seesaw After Big Market Rally
The latest consumer confidence data showed sentiment remains low.
By Karee Venema Published
-
Stock Market Today: Markets Celebrate Trump's Tariff Détente
Consumer discretionary stocks led 10 of the 11 S&P 500 sector groups well into the green.
By David Dittman Published
-
Stock Market Today: Stocks Swing Higher After Early Slump
Negative earnings reactions for Nike, FedEx and Micron kept pressure on the main indexes, though.
By Karee Venema Published
-
Stock Market Today: Stocks Struggle After Big Fed Gains
An unexpected rise in existing home sales couldn't save stocks on Thursday.
By Karee Venema Published
-
Stock Market Today: Stocks Enjoy a Fed Day Relief Rally
The question now is whether Jerome Powell and other policymakers can get the balance right given all the new noise.
By David Dittman Published
-
Stock Market Today: Stocks Skid Into Another Risk-Off Turn
The promise of the AI revolution can't overcome flickering hopes for a "Fed put."
By David Dittman Published