STORY: U.S. stocks ended lower on Tuesday as investors weighed comments from a top U.S. regulator on struggling banks and sold shares of technology-related names after their recent strong run.
The Dow and S&P 500 both closed down fractionally, while the Nasdaq shed half a percent.
[MICHAEL BARR]: “I think it's terrible risk management, obviously…”
Michael Barr, the Federal Reserve's top banking regulator, told a Senate panel that Silicon Valley Bank did a "terrible" job of managing risk before its collapse.
The KBW regional banking index was down on the day, while shares of First Citizens Bank were up slightly, a day after the stock rose more than 50% after it said it would acquire the deposits and loans of Silicon Valley Bank.
Higher Treasury yields also weighed on tech shares, with Apple and Microsoft among the biggest drags on the S&P 500.
But Ryan Belanger, Managing Principal and Founder of Claro Advisors, says he remains bullish on Big Tech.
“These companies are making money, they're talking about being efficient, they know what investors want to see. [FLASH] We like the big tech. We're going to stick with them. If they continue to sell off, we'll buy more.”
In other movers, Alibaba Group jumped after the company said it plans to split its business into six main units covering e-commerce, media and the cloud.