Post by unlawflcombatnt on Jun 5, 2013 18:09:00 GMT -6
from Marketwatch
U.S. stocks tumble with jobs report in mind
Worst session since April 15 for Dow industrials
Wed, June 5, 2013
By Kate Gibson
"U.S. stocks tumbled on Wednesday for a 2nd session as data on U.S. private-sector job growth darkened views of the monthly nonfarm-payrolls report to be released in 2 days.
“More attention is being brought to the economic data, so everyone can play Nostradamus and guess what the Fed’s next move will be,” Mark Luschini, chief investment strategist at Janney Montgomery Scott, said of ongoing guessing as to when the Federal Reserve would begin tapering its $85 billion in monthly bond purchases.
Stock indexes remained deeply under water after the release of the Fed’s so-called Beige Book....
In its worst session in more than a month, the Dow Jones Industrial Average (DJI:DJIA) lost 216.95 points, or 1.4%, to 14,960.59, with Intel Corp. (NASDAQ:INTC) pacing declines that included all of its 30 components.
The S&P 500 index (SNC:SPX) declined 22.48 points, or 1.4%, to 1,608.90, with materials and financials leading losses that included all of its 10 major industry groups....
Markets worldwide could move depending on what Mario Draghi says at his press conference. VeriFone stock is down on its earnings report, and investors wait for J.M. Smucker before the bell. Photo: AP.
General Motors Co. (NYSE:GM) fell 2.7% after the U.S. Treasury said it would sell 30 million more shares of the car manufacturer’s common stock.
The Nasdaq Composite (NASDAQ:COMP) fell 43.78 points, or 1.3%, to 3,401.48.
For every share rising, 4 fell on the New York Stock Exchange, where 738 million shares traded. Composite volume approached 3.6 billion.
Gold (CNS:GCQ3) and oil (NMN:CLN3) prices rose; the U.S. dollar (NYE:DXY) declined and the yield on the 10-year Treasury note (TICKER:10_YEAR) used in determining mortgage rates and other consumer loans fell to 2.087%.
U.S. companies created 135,000 jobs in May, according to ADP Employer Services.
“The market is in the midst of a bit of a correction, so the bias is lower anyway. But with the ADP report being as underwhelming as it was, there is an increasing loss of enthusiasm for equities at the moment,” said Janney Montgomery Scott’s Luschini.
Revised government figures showed...hourly compensation falling 3.8%. Wednesday’s data came ahead of Friday’s nonfarm-payrolls report, and added credence to the view that a soft labor market would extend the time frame before the Federal Reserve begins tapering its bond purchases.
“The market is playing wait-and-see with Friday’s numbers, but certainly the ADP number that came out showed there is probably moderate downside risk to that May employment number,” said Lynch at Wells Fargo Private Bank....
A 20-Tuesday-long win streak for the Dow industrials was derailed, with the index falling 76.49 points, or 0.5%, to end at 15,177.54. Fears over when the Federal Reserve will begin to pull back on its bond-buying program weighed on sentiment.
On Tuesday, Fed Bank of Kansas City President Esther George advocated for the Fed to pare back its bond-buying program, and Dallas Fed President Richard Fisher stepped up his criticism of the Fed’s easy-money program."
U.S. stocks tumble with jobs report in mind
Worst session since April 15 for Dow industrials
Wed, June 5, 2013
By Kate Gibson
"U.S. stocks tumbled on Wednesday for a 2nd session as data on U.S. private-sector job growth darkened views of the monthly nonfarm-payrolls report to be released in 2 days.
“More attention is being brought to the economic data, so everyone can play Nostradamus and guess what the Fed’s next move will be,” Mark Luschini, chief investment strategist at Janney Montgomery Scott, said of ongoing guessing as to when the Federal Reserve would begin tapering its $85 billion in monthly bond purchases.
Stock indexes remained deeply under water after the release of the Fed’s so-called Beige Book....
In its worst session in more than a month, the Dow Jones Industrial Average (DJI:DJIA) lost 216.95 points, or 1.4%, to 14,960.59, with Intel Corp. (NASDAQ:INTC) pacing declines that included all of its 30 components.
The S&P 500 index (SNC:SPX) declined 22.48 points, or 1.4%, to 1,608.90, with materials and financials leading losses that included all of its 10 major industry groups....
Markets worldwide could move depending on what Mario Draghi says at his press conference. VeriFone stock is down on its earnings report, and investors wait for J.M. Smucker before the bell. Photo: AP.
General Motors Co. (NYSE:GM) fell 2.7% after the U.S. Treasury said it would sell 30 million more shares of the car manufacturer’s common stock.
The Nasdaq Composite (NASDAQ:COMP) fell 43.78 points, or 1.3%, to 3,401.48.
For every share rising, 4 fell on the New York Stock Exchange, where 738 million shares traded. Composite volume approached 3.6 billion.
Gold (CNS:GCQ3) and oil (NMN:CLN3) prices rose; the U.S. dollar (NYE:DXY) declined and the yield on the 10-year Treasury note (TICKER:10_YEAR) used in determining mortgage rates and other consumer loans fell to 2.087%.
U.S. companies created 135,000 jobs in May, according to ADP Employer Services.
“The market is in the midst of a bit of a correction, so the bias is lower anyway. But with the ADP report being as underwhelming as it was, there is an increasing loss of enthusiasm for equities at the moment,” said Janney Montgomery Scott’s Luschini.
Revised government figures showed...hourly compensation falling 3.8%. Wednesday’s data came ahead of Friday’s nonfarm-payrolls report, and added credence to the view that a soft labor market would extend the time frame before the Federal Reserve begins tapering its bond purchases.
“The market is playing wait-and-see with Friday’s numbers, but certainly the ADP number that came out showed there is probably moderate downside risk to that May employment number,” said Lynch at Wells Fargo Private Bank....
A 20-Tuesday-long win streak for the Dow industrials was derailed, with the index falling 76.49 points, or 0.5%, to end at 15,177.54. Fears over when the Federal Reserve will begin to pull back on its bond-buying program weighed on sentiment.
On Tuesday, Fed Bank of Kansas City President Esther George advocated for the Fed to pare back its bond-buying program, and Dallas Fed President Richard Fisher stepped up his criticism of the Fed’s easy-money program."