Stocks Tumble, Dow Down 220 Points, Company Earnings Disappoint
stocks are plunging, putting the market on track for its first monthly loss since January. The Dow Jones industrial average had its worst daily drop since February. At one point it was down more than 300 points. The slide interrupted a prolonged advance in the market. The Standard & Poor’s 500 index closed at its latest record high just one week ago.
Stocks mostly higher as Fed retains dovish stance
is suggesting that the Fed may have to raise interest rates sooner rather than later. The Argentine issue is another piece of adverse news flow. Regional Gauges Japans Topix index declined 0.4 percent and South Koreas Kospi index fell 0.3 percent. Australias S&P/ASX 200 Index retreated 1.2 percent, heading for its biggest loss since mid May. New Zealands NZX 50 Index and Singapores Straits Times Index both slipped 0.8 percent.
Asian Stocks Extend Global Rout Amid Earnings Concerns – Bloomberg
“The stock exchange is falling heavily because it was, in the end, surprised by the fact that negotiations yesterday were frustrated,” said Belen Olaiz, an economist with ABECEB.com Consultants in Buenos Aires. Olaiz said some investors may also have been spooked by Economy Minister Axel Kicillof’s sharp criticism of the hedge fund investors, raising worry the dispute is far from resolution. Speaking to reporters after the collapse of talks, Kicillof repeatedly referred to the investors as “vultures” and called their demands “extortion.” The default did not seem to rattle global markets, largely because investors have been well aware of Argentina’s problems since its record $100 billion default in 2001. Also, traders had been preparing for a worst-case scenario before the talks fell apart, and many still hope a deal will be struck soon. “The markets already sold off a fair amount before the news late yesterday night that we were definitely going into a default scenario,” said Alberto Ramos, who analyzes Argentina for Goldman Sachs.
Stocks fall in Argentina as country enters default – Yahoo Finance
Stocks had mostly fallen on Wednesday after a report that had the economy bouncing back at a faster-than-estimated clip in the second quarter fueled speculation that the Federal Reserve could move on rates more quickly than anticipated. “The market can’t ignore how this raises the stakes for the Fed. There are consequences to better growth, and that’s a less accommodative Fed,” said Peter Boockvar, chief market analyst at the Lindsey Group. “The Fed is not going to be able to wait a year to raise interest rates; what they should do is raise them at the end of this year, what they will do is move at the beginning of next year, as opposed to the middle or end, which is what people think,” Boockvar said.
data contributed to the bearish tone as jobless claims rose more than expected in the latest http://www.todayhotstocks.com week, and the Chicago Purchasing Managers Index unexpectedly fell in July to its lowest since June 2013. All 10 primary S&P 500 sectors were down on the day, with energy the biggest decliner with a drop of 0.9 percent. About 82 percent of stocks traded on the New York Stock Exchange fell, while 74 percent of Nasdaq-listed shares were lower. The CBOE Volatility index rose 8.3 percent to 14.44, well under its historical average of 20.