U.S. stocks fall back from record highs following media and retail losses

Adjust Comment Print

US equity benchmarks finished the week on a high note on Friday, amid economic data including weaker-than-expected inflation but strong retail sales numbers.

A negative reaction to earnings news from Citigroup (C) and JPMorgan (JPM) also weighed on the markets, with both financial giants moving lower despite reporting better than expected third quarter earnings.

The Labor Department said its consumer price index climbed by 0.5 percent in September after rising by 0.4 percent in August. They have made big gains over the last month. Retail sales, meanwhile, gained 1.6 percent, while analysts polled by Reuters expected a gain of 1.7 percent. "There seems to be money searching for stocks and looking for investments, simply because the momentum is still positive", said Bucky Hellwig, senior vice president at BB&T Wealth Management in Birmingham, Alabama. "So I imagine there's cash coming in off the sidelines".

Higher gas prices contributed to the jump in retail sales, as sales by gasoline stations soared by 5.8 percent during the month.

European bourses have turned mostly lower, with U.K.'s FTSE -0.3%, France's CAC -0.2% and Germany's DAX -0.1%; in Asia, Japan's Nikkei rallied +1.1%, extending its weekly gain to 2.2%, and China's Shanghai Composite closed +0.1%.

Nine Inch Nails' Trent Reznor and Attitus Ross rework John Carpenter's Halloween
At almost eight minutes long, the pair's reworked version is just as chilling as the 1978 original . You can catch John Carpenter now on tour performing all your favorite hits in a city near you.


Bank of America, the second-biggest United States bank by assets, rose 1.10 per cent after the lender's profit topped estimates due to higher interest rates and a drop in costs. The Dow edged down 31.88 points or 0.1 percent to 22,842.01, the Nasdaq dipped 12.04 points or 0.2 percent to 6,591.51 and the S&P 500 dipped slipped 4.31 points or 0.2 percent to 2,550.93. The Nasdaq rose 0.2 percent for the week, registering a third week of gains.

But Wells Fargo (WFC.N) tumbled 2.8 percent after it reported lower-than-expected revenue for the fourth straight quarter due to a decline in mortgage banking revenue. The stock traded 0.2 percent higher as of 9:12 a.m.in NY. But concerns about rising credit costs drove the stock lower by more than 3 percent.

Tenet Healthcare (THC.N) dropped 5.1 percent and Community Health System (CYH.N) declined 4 percent.

Advancing issues outnumbered decliners on the NYSE by 1,773 to 1,038.

About 5.8 billion shares changed hands on US exchanges.

Comments