Home » Business » Weak tellurian information drags Wall Street 1 percent lower

Weak tellurian information drags Wall Street 1 percent lower

Thu Jun 21, 2012 1:47pm EDT

NEW YORK (Reuters) – Stocks tumbled on Thursday as new marketplace gains gave approach to sprightly offered on signs of production debility in a United States and around a globe.

Energy and materials association shares led declines on Wall Street as commodity prices fell. U.S. wanton futures slipped next $80 a tub for a initial time given Oct and copper tumbled roughly 3 percent. The SP appetite section index .GSPE mislaid 2.9 percent.

Data on Thursday showed business activity opposite a euro section shrank for a fifth true month in Jun and Chinese production contracted, while weaker abroad direct slowed expansion by U.S. factories growth. ID:nL1E8HL9AU]

Other U.S. information showed home resales fell in May. Applications for stagnation word slipped final week, though a four-week relocating normal for new claims rose to a top turn given early December.

“Markets are disturbed about a slowdown, not usually in U.S. total though all around a world,” pronounced Jeffrey Saut, arch investment strategist during Raymond James Financial in St. Petersburg, Florida. “The marketplace was intensely overbought entrance into this week, and a news gave it an forgive to sell off.”

Softening information globally carried hopes of executive bank movement to support a economy. The U.S. Federal Reserve announced on Wednesday it would extend one financial impulse module and pronounced it was prepared to do some-more to assistance mercantile expansion if necessary.

The Dow Jones industrial normal .DJI fell 140.70 points, or 1.10 percent, to 12,683.69. The SP 500 Index .SPX forsaken 17.79 points, or 1.31 percent, to 1,337.90. The Nasdaq Composite .IXIC mislaid 45.54 points, or 1.55 percent, to 2,884.91.

Semiconductor bonds weighed on a Nasdaq after chipmaker Micron Technology Inc (MU.O) posted a net detriment for a fourth true quarter. Micron mislaid 6.6 percent to $5.72 and a PHLX semiconductor index .SOX forsaken 2.7 percent.

Celgene Corp (CELG.O) slumped 11.2 percent to $59.66 after a association pronounced it was withdrawing a European focus for wider use of a big-selling Revlimid blood cancer drug.

Philip Morris International (PM.N) mislaid 2.3 percent to $86.51 after forecasting full-year gain next Wall Street estimates, observant a clever dollar has harm sales abroad.

Philip Morris’ news followed other unsatisfactory outlooks from associate multinationals PepsiCo (PEP.N) and Procter Gamble (PG.N).

Onyx Pharmaceuticals Inc (ONXX.O) surged 44 percent to $64.08 after U.S. drug advisers corroborated a company’s drug for cancer patients. Ligand Pharmaceuticals Inc (LGND.O), that stands to accept royalties from sales of a drug, gained 15.5 percent to $16.80.

(Reporting by Rodrigo Campos; Editing by Kenneth Barry)

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