Stocks are extending losses following a late sell-off yesterday
and more taper-friendly economic news. Worries the Federal Reserve
will soon begin draining liquidity are also being exacerbated by
comments from the head of the Capital Markets Group at the New York
Fed who said that the central bank has been using reverse repos
since September as a way to introduce more restrictive monetary
policy into the market. The Dow Jones Industrials Index is
struggling with profit-taking pressure, with blue chips sliding
over 100 points into the red, while losses for the Nasdaq Composite
index are more modest owing to strength for Apple (
) and Tesla Motors (
Economic data today included strong November auto sales and a
4.9% gain in Redbook same-store sales for the week ended Nov. 30
and followed a 3.8% rise during the prior week.
Monday's sell-off in the U.S. and worries about the Fed's next
move permeated European markets with all the major indices closed
in the red. And although the European Central Bank and Bank of
England are not expected to adjust their respective interest rates
at policy meetings later this week, better-than-expected employment
data in Spain and an impressive jump in the UK construction PMI
suggest an end to easy monetary policy across Europe also is in
Crude oil was up $1.95 to $95.77 per barrel. Natural gas was
unchanged at $3.99 per 1 million BTU. Gold was up $1.30 to
$1,223.10 an ounce, while silver was down $0.14 to $19.15 an ounce.
Copper was unchanged at $3.17 per pound.
Among energy ETFs, the United States Oil Fund was up 2.11% to
$34.39 with the United States Natural Gas Fund was up 1.14% to
$19.57. Amongst precious-metal funds, the Market Vectors Gold
Miners ETF was down 0.44% to 20.87 while SPDR Gold Shares were up
0.39% to $118.02. The iShares Silver Trust was down 0.11% to
Here's where the markets stand at mid-day:
NYSE Composite Index down 57.54 (-0.57%) to 10079.48
Dow Jones Industrial Average down 108.37 (-0.68%) to
S&P 500 down 7.16 (-0.40%) to 1793.74
Nasdaq Composite Index down 10.42 (-0.26%) to 4034.84
Nikkei 225 Index up 0.60%
Hang Seng Index down 0.53%
Shanghai China Composite Index up 0.69%
FTSE 100 Index down 0.95%
CAC 40 down 2.65%
DAX down 1.90%
NYSE SECTOR INDICES
NYSE Energy Sector Index down 0.08%
NYSE Financial Sector Index down 0.97%
NYSE Healthcare Sector Index down 0.73%
(+) ETRM (+34.0%) Trial data for the company's VBLOCK
weight-loss therapy shows it continues to be durable and safe 18
(+) CNAT (+26.1%) U.S. Food and Drug Administration grants
orphan drug status for the company's Emricasan drug candidate - now
in Phase IIb testing - to stymie recurrent fibrosis and cirrhosis
in liver-transplant recipients.
(+) TSLA (+12.2%) Tesla's Model S was cleared of any safety
defect in a review by German transportation regulators.
(-) KKD (-18.0%) Donut-maker dunked after preliminary FY15
earning guidance expecting $0.71 to $0.76 per share trails
expectations by at least $0.03.
(-) LDOS (-10.7%) The company cuts its financial guidance for
the 12 months ending Jan. 31, 2014, because of a significantly
weaker Q3 performance.
(-) TAXI (-8.5%) Shares tumble after the specialty lender prices
public offering of 2.9 million shares of its common stock at $16.40
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