US stock indexes slide in afternoon trading; oil rises
U.S. stocks moved broadly lower in afternoon trading Thursday, giving back the market’s gains from the day before. Financial, industrial and technology stocks were down the most, while phone company and real estate stocks edged higher. Investors were turning their focus to the next wave of corporate earnings reports in the weeks ahead.
KEEPING SCORE: The Dow Jones industrial average slid 105 points, or 0.5 percent, to 19,849 as of 1:28 p.m. Eastern Time. The Standard & Poor’s 500 index lost 10 points, or 0.5 percent, to 2,264. The Nasdaq composite index fell 33 points, or 0.6 percent, to 5,530.
BANK WOES: Banks and other financial companies were down as the yield on the 10-year Treasury note fell. Lower yields mean lower interest rates on loans and lower profits for banks. Cincinnati Financial shed $4.73, or 6.3 percent, to $70.16. PNC Financial Services Group lost $3.02, or 2.5 percent, to $117.76. Zions Bancorporation fell $1.22, or 2.8 percent, to $42.70.
HEFTY CHARGE: Hess slid 4.3 percent after the oil company said it will take a $3.8 billion charge in the fourth quarter. The stock fell $2.68 to $59.16.
UNDERCUT: Mylan fell 1.6 percent on news that rival CVS is now selling a generic version of Mylan’s EpiPen at about a sixth of its price. Mylan’s stock shed 59 cents to $36.70.
RED FLAG: Investors sold shares in KB Home after the homebuilder’s latest margins and outlook for this year fell short of Wall Street’s expectations, overshadowing the company’s improved earnings and sales. The stock slid 35 cents, or 2.1 percent, to $16.25.
ROAD HAZARD: Fiat Chrysler tumbled 16.1 percent on news that the U.S. government is accusing the automaker of violating vehicle emission laws. The Environmental Protection Agency said Thursday that Fiat Chrysler failed to disclose software in some of its vehicles with diesel engines that allows them to emit more pollution than allowed under the Clean Air Act. Shares in Fiat slid $1.69 to $8.78.
RESPLENDENT RISER: Tiffany & Co. was one of the biggest gainers in the S&P 500, rising $3.01 or 3.9 percent, to $80.75.
MARKETS OVERSEAS: In Europe, Germany’s DAX fell 1.1 percent, while France’s CAC 40 slid 0.5 percent despite new data showing eurozone industrial production jumped 1.5 percent in November. Britain’s FTSE 100 was flat. In Asia, Japan’s benchmark Nikkei 225 dropped 1.2 percent. Hong Kong’s Hang Seng dipped 0.5 percent, while Australia’s S&P/ASX 200 slipped 0.1 percent. South Korea’s Kospi bucked the trend to rise 0.6 percent.
ENERGY: Benchmark crude oil was up 78 cents, or 1.5 percent, at $53.03 a barrel in New York. Brent crude, which is used to price oil sold internationally, was up 91 cents, or 1.7 percent, at $56.01 a barrel in London.
BONDS: Bond prices rose. The yield on the 10-year Treasury slipped to 2.33 percent from 2.37 percent late Wednesday.
CURRENCIES: The dollar fell to 114.30 yen from 115.43 on Wednesday. The euro was rising at $1.0637 from $1.0576. The pound, which had been weakening recently amid concern that Britain might break off completely from the European Union’s single market, was moving higher versus the dollar Thursday. The British currency was down to $1.2176 from $1.2208. TVJ
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