Investing.com - U.S. stocks were smacked lower Thursday, after a string of weak economic data from the U.S. and the euro zone added to disappointing comments by the Federal Reserve.
At the close of U.S. trade, the Dow Jones Industrial Average spiked lower1.96%, the S&P 500 index plunged 2.23%, while the Nasdaq Composite plummeted 2.44%.
The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending June 16 fell to 387,000, disappointing expectations for a decline to 380,000.
Preliminary data also showed that the U.S. manufacturing purchasing mangers’ index fell more-than-expected to 52.9 in June from 54.0 the previous month.
Investor confidence had weakened earlier after the Federal Reserve announced Wednesday that it is extending the current bond buying program until the end of the year, disappointing expectations for more aggressive measures, following a recent string of weak U.S. data.
Sentiment was also hit after data showed that manufacturing activity in the euro zone contracted at the fastest pace since June 2009 this month, while manufacturing activity in Germany slowed to the lowest level in three years in June.
The dismal data came after a report showing that China’s HSBC PMI for June fell to 48.1 compared with 48.4 in May, remaining in contraction territory for the eighth straight month.
Apple shares edged up 0.14% although a U.S. judge strongly questioned the company’s bid for an injunction against Google's Motorola Mobility unit, as the iPhone maker tries to salvage its position on a key front in the smartphone patent wars. Google shares fell 0.28%.
Meanwhile, Johnson & Johnson declined 0.30%, as the healthcare giant was reportedly approaching a settlement with the U.S. Justice Department over allegations it promoted anti-psychotic drug Risperdal for unapproved uses that could cost the healthcare conglomerate at least USD1.5 billion.
In the same field, Celgene dove 10.10% after the drug maker said it is withdrawing its application for new uses for its Revlimid drug, but plans to resubmit its application with more "mature data."
Ligand Pharmaceuticals rallied 8.52% after a partner won U.S. approval for a cancer drug.
In the financial sector, shares in Wells Fargo rose 0.62% as the U.S. lender was said to be considering moving some jobs outside the U.S. as it pushes forward with a company-wide cost-cutting program.
Elsewhere, U.S. lenders were mixed, as shares in JP Morgan climbed 0.60%, while Bank of America retreated 0.61% and Goldman Sachs declined 0.47%.
At the close of European trade, the EURO STOXX 50 fell 0.37%, France’s CAC 40 gave back 0.39%, while Germany’s DAX 30 plunged 0.77%.
Investors are anticipating German IFO Business Climate Index and the Canadian core CPI on Friday.
At the close of U.S. trade, the Dow Jones Industrial Average spiked lower1.96%, the S&P 500 index plunged 2.23%, while the Nasdaq Composite plummeted 2.44%.
The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending June 16 fell to 387,000, disappointing expectations for a decline to 380,000.
Preliminary data also showed that the U.S. manufacturing purchasing mangers’ index fell more-than-expected to 52.9 in June from 54.0 the previous month.
Investor confidence had weakened earlier after the Federal Reserve announced Wednesday that it is extending the current bond buying program until the end of the year, disappointing expectations for more aggressive measures, following a recent string of weak U.S. data.
Sentiment was also hit after data showed that manufacturing activity in the euro zone contracted at the fastest pace since June 2009 this month, while manufacturing activity in Germany slowed to the lowest level in three years in June.
The dismal data came after a report showing that China’s HSBC PMI for June fell to 48.1 compared with 48.4 in May, remaining in contraction territory for the eighth straight month.
Apple shares edged up 0.14% although a U.S. judge strongly questioned the company’s bid for an injunction against Google's Motorola Mobility unit, as the iPhone maker tries to salvage its position on a key front in the smartphone patent wars. Google shares fell 0.28%.
Meanwhile, Johnson & Johnson declined 0.30%, as the healthcare giant was reportedly approaching a settlement with the U.S. Justice Department over allegations it promoted anti-psychotic drug Risperdal for unapproved uses that could cost the healthcare conglomerate at least USD1.5 billion.
In the same field, Celgene dove 10.10% after the drug maker said it is withdrawing its application for new uses for its Revlimid drug, but plans to resubmit its application with more "mature data."
Ligand Pharmaceuticals rallied 8.52% after a partner won U.S. approval for a cancer drug.
In the financial sector, shares in Wells Fargo rose 0.62% as the U.S. lender was said to be considering moving some jobs outside the U.S. as it pushes forward with a company-wide cost-cutting program.
Elsewhere, U.S. lenders were mixed, as shares in JP Morgan climbed 0.60%, while Bank of America retreated 0.61% and Goldman Sachs declined 0.47%.
At the close of European trade, the EURO STOXX 50 fell 0.37%, France’s CAC 40 gave back 0.39%, while Germany’s DAX 30 plunged 0.77%.
Investors are anticipating German IFO Business Climate Index and the Canadian core CPI on Friday.