Stocks Weak Again as Toxic Mix Seen Developing
Tweet
Share
E-mail
Get Alerts CAT Hot Sheet
Price: $363.25 +1.58%
Overall Analyst Rating:
NEUTRAL (
Down)
Dividend Yield: 1.5%
EPS Growth %: +4.7%
Overall Analyst Rating:
NEUTRAL (
Down)Dividend Yield: 1.5%
EPS Growth %: +4.7%
Join SI Premium – FREE
After starting the day solidly higher amid strong results from Dow-component Caterpillar Inc. (NYSE: CAT) and easing worries about emerging market currencies, stocks turned red, adding to the year-to-date sell-off.
Since the start of the year, the Dow is down 4.6%, while the S&P 500 is down 3.9%. Meanwhile, the NASDAQ is fairing slightly better with a 2.7% YTD slide. In today's trade, shortly after 1PM, the Dow is down 64.5, the S&P 500 is down 13.6 and the Nasdq is down 62.5.
In addition to continuing worries that the Fed could taper QE by another $10 billion monthly later this week, today's new home sales data was downright disappointing.
While weather likely impacted new home sales during the month, the 414,000 new home sales figure for December was down a sharp 7% from November's 445,000 revised number and was well short of the 455,000 economists expected.
Fed tapering combined with weaker economic data is a recipe for weaker stock prices. Throw in emerging market risk and you have a toxic mix brewing.
Tomorrow on the economic front, the market will be looking forward to durable goods orders, the Case-Shiller report, consumer confidence, and the 2-year note auction.
Since the start of the year, the Dow is down 4.6%, while the S&P 500 is down 3.9%. Meanwhile, the NASDAQ is fairing slightly better with a 2.7% YTD slide. In today's trade, shortly after 1PM, the Dow is down 64.5, the S&P 500 is down 13.6 and the Nasdq is down 62.5.
In addition to continuing worries that the Fed could taper QE by another $10 billion monthly later this week, today's new home sales data was downright disappointing.
While weather likely impacted new home sales during the month, the 414,000 new home sales figure for December was down a sharp 7% from November's 445,000 revised number and was well short of the 455,000 economists expected.
Fed tapering combined with weaker economic data is a recipe for weaker stock prices. Throw in emerging market risk and you have a toxic mix brewing.
Tomorrow on the economic front, the market will be looking forward to durable goods orders, the Case-Shiller report, consumer confidence, and the 2-year note auction.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Wall Street closes higher as investors digest earnings, megacap outlook
- American Express (AXP) PT Raised to $260 at Deutsche Bank
- Global S&P Futures mixed in premarket
Create E-mail Alert Related Categories
General News, Market CheckRelated Entities
Standard & Poor's, Durable Goods OrdersSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
