Dow shares were down 9.4% at $27.51 in premarket trading, while S&P 500 and Dow Jones Industrial Average futures were up 0.1% and down 0.4%, respectively. Before the cut, Dow stock yielded more than 9%. Based on the new payout and premarket price, the yield is about 5%.

Dow’s stock tumbles toward a five-year low after dividend was cut in half, and quarterly losses were much wider than expected.

Dow Inc.’s (DOW) stock is down 14% after the chemical producer announced that it is cutting its quarterly dividend payment by 50%. Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools,

The S&P 500 index notched its third consecutive record high Wednesday, with a U.S.-Japan tariff deal and signs of progress with other trade partners lifting the Dow Jones Industrial Average more than 500 points.

Wall Street climbed Wednesday after President Donald Trump reached a trade deal with Japan and hopes rose for more agreements by August 1.

The Dow Jones Industrial Average rallied 507 points, or 1.1%, and the Nasdaq composite climbed 0.6% to hit its own record. Stocks jumped even more in Tokyo, where the Nikkei 225 rallied 3.5% after President Donald Trump announced a trade framework that would place a 15% tax on imports coming from Japan.