Tags: AGX | AL | ALLFND | ALLTOP | ALU | AUT | BB

U.S. Stocks Decline on ECB Ahead of Tomorrow’s Jobs Report

Thursday, 05 Jul 2012 04:11 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

U.S. stocks retreated, following a three-day advance for the Standard & Poor’s 500 Index, amid disappointment over Europe’s efforts to tame the region’s debt crisis and as investors awaited tomorrow’s jobs report.

Financial shares had the biggest loss among 10 S&P 500 groups as Spanish and Italian bonds plunged. JPMorgan Chase & Co. and Bank of America Corp. fell at least 2.7 percent. A measure of retailers in the benchmark gauge jumped 1.2 percent amid June sales data. Apple Inc., the most valuable company, climbed 2.1 percent to pace gains in technology companies.

The S&P 500 declined 0.2 percent to 1,371.01 at 3:07 p.m. New York time, paring an earlier loss of as much as 0.8 percent. The Dow Jones Industrial Average fell 10.83 points, or 0.1 percent, to 12,932.99. The Nasdaq Composite Index rose 0.2 percent to 2,983.35. Trading in S&P 500 companies was down 22 percent from the 30-day average at this time of day. The U.S. stock market was closed yesterday for a holiday.

“There’s a bit of disappointment with the ECB,” said Mike Ryan, the New York-based chief investment strategist at UBS Wealth Management Americas. “In the U.S., the jobless claims figures were encouraging, but I don’t think they change the dynamics for tomorrow’s data. People are not willing to take big bets going into the jobs report.”

Equities fell as European Central Bank President Mario Draghi said today’s cut in interest rates may have only a limited impact on the euro-area economy. China also lowered rates today in a bid to spur growth. Labor Department data tomorrow may show the pace of hiring accelerated in June while remaining at less than half the average for the first quarter of the year. Data today showed that fewer Americans filed first- time claims for unemployment insurance payments and companies added more workers than forecast.

Concern about a global economic slowdown put the S&P 500 last month on the brink of a so-called correction, or a 10 percent decline from a recent peak. The index slumped 3.3 percent in the second-quarter, the biggest retreat since the period ending in September.

“China is slowing, Europe is clearly slowing, how is the U.S. going to avoid sliding into recession again?” said Malcolm Polley, who oversees about $1.1 billion as chief investment officer at Stewart Capital in Indiana, Pennsylvania. “There’s just not a lot of capacity left to add stimulus.”


© Copyright 2014 Bloomberg News. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Palin Challenges WashPost 'Wusses' to Cover Obama Like Nixon

Sunday, 27 Jul 2014 23:03 PM

Sarah Palin issued a challenge to the Washington Post to do the same job investigating President Barack Obama as it did  . . .

Tentative Deal Reached on VA Reform

Sunday, 27 Jul 2014 17:37 PM

The chairmen of the House and Senate Veterans Affairs committees have reached a tentative agreement on a plan to improve . . .

Report: Hamas Turns to North Korea for Arms

Sunday, 27 Jul 2014 17:06 PM

Hamas militants in Palestine are hammering out a new arms deal with communist North Korea to obtain the missiles and com . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved