Stocks Plunge on Taper Fears, Volatility Spikes (FB, ORCL)
Several positive economic indicators were released on Thursday suggesting that the economy may accelerate later on in the year. The leading economic index increased in May and existing home sales rose more than forecast. Despite this data the major indices fell for another day on recent statements from the Fed and the Dow saw its largest drop of almost 354 points since November of 2011. Oil, gold and bonds sharply dropped as well. Oracle (ORCL) announced higher earnings but did not meet expectations and saw shares fall after hours.Facebook (FB) edged lower as it kicked off a new showcase event. Asian markets mimicked the US and the Nikkei fell 1.7% on Thursday.
Word on the Street
- Home resales hit a 3-1/2 year high in May, factory data shows rebound.
- Kroger (KR) raises yearly outlook and reports strong Q1 profit.
- Asia stock markets fall on US news and pressure from factory activity.
- Gold plunges to its lowest in over 2-1/2 years after Fed signals eventual end of stimulus.
- Kodak reaches $895 million deal with 3 banks to fund its rebirth from bankruptcy.
- Gannett Company (GCI) Buys Belo Corp. (BLC) for $2.2 Billion.
Published on Jun 20, 2013By InvestorGuide Staff