(MENAFN- ProactiveInvestors) U.S. stocks extended losses after U.S. Chair Janet Yellen warned of high valuations adding to anxiety about future interest rates and a global bond rout.
The S&P 500 (INDEXSP:.INX) slipped 0.8 percent to 2073 at 3:34 p.m. in New York. The 30-company Dow Jones Industrial Average (INDEXDJX:.DJI) retreated 0.8 percent to 17 778 while the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) skidded 0.8 percent to 4900.
Atlanta bank president Dennis Lockhart said he still expects it will be appropriate to raise interest rates some time in the middle of the year. His and Yellen's comments came as investors try to pinpoint when the Fed will begin raising interest rates for the first time since 2006.
DATA:
For the first time in about two years the U.S. created fewer than 200000 private-sector jobs for two months straight payrolls processor ADP said today. The report will heighten fears that jobs creation — which had been the bright spot of late in the U.S. economy — is continuing to decelerate.
U.S. productivity fell by a 1.9 percent annual pace in the first quarter resulting in the first back-to-back drop since 2006 the Labour Department reported Wednesday. Over the past four quarters productivity has risen at a scant 0.6% rate just one-fourth the nation’s average since the end of World War Two.
MOVERS:
() tumbled 6.7 percent to $153.95 after saying it would buy () for $8.4 billion to boost its rare drug pipeline. Synageva more than doubled to $204.22. Alexion's cash-and-stock offer values Synageva at $225.92 per share — more than double of Synageva closing price of $95.87 yesterday.
() fell 1.4 percent to $21.11 after lawmakers proposed a bill that would block the airline’s potential flights to Havana.
Electronic Arts (NASDAQ:EA) rose 2.8 percent to $60.82 after the video game company’s fourth-quarter sales and earnings beat analysts’ projections.
() jumped 17.6 percent to $47.15 after the weight-loss and nutritional products maker boosted its full-year profit forecast.
() fell 7.6 percent to $17.66 after reporting first-quarter revenue that missed analyst expectations. The company’s earnings met consensus estimates.
() dropped 8.7 percent to $6.25 after the online deal company said its first-quarter loss narrowed to $14.3 million from a loss of $37.8 million a year earlier.
Wendy's () gained 6.5 percent to $11.10 after the fast-food chain said it plans to sell its bakery business this month and sell off 640 of its company-owned restaurants to franchisees. The company also reported profit that narrowly topped Wall Street expectations for the first quarter.
ADRs of (NYSE:BUD) gained 2.3 percent to $119.85 after the Belgian brewing company said a derivatives gain pushed up its net profit sharply in the first quarter.
Zulily (NASDAQ:ZU) sank 13.7 percent to $10.20. The e-commerce company reported an unexpected profit of one cent per share with analysts having forecast a three cent per share loss. Revenue was below estimates however and the retailer gave weaker than expected revenue guidance for the current quarter and the year.
() sank 6.6 percent to $14.96. The New York-based company missed estimates by a penny with adjusted quarterly profit of five cents per share with revenue essentially in line. The Wall Street Journal owner was hurt by foreign currency issues as well as a drop in newspaper ad sales.
COMMODITIES:
Gold for June delivery shed 0.2 percent to settle at $1190 an ounce on Comex.
West Texas Intermediate for June delivery settled at $60.93 a barrel on the New York Mercantile Exchange up 0.9 percent.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.