U.S. stocks fall greatly as Brexit, federal government bond yield concerns weigh

The Dow, NASDAQ and S&P 500 all fell broadly on Friday

Investing.com– U.S. stocks pared sharp losses on Friday but still closed broadly lower, as domestic unrefined futures dropped listed below $50 a barrel and a worldwide bond yield crush overflowed into equity markets worldwide.
Investors continued to pile into safe-haven assets on Friday, as federal government bond yields throughout the world toppled to fresh record lows. It came amidst mounting worries of a possible collapse in credit markets, as yields on and government bond yields dropped to their least expensive level on record and yields on bonds turned negative. In Germany, more than 75% of federal government bond yields hovered in unfavorable area, as the fell to all-time lows of 0.02. Consequently, equities in the euro location plunged 2% as monetary stocks dragged down the major indices overall.
The fell 119.85 or 0.67% to 17,865.34, while the Composite index dropped 19.41 or 0.92% to 2,096.07, bouncing from session-lows. The Dow fell as much as 172 points throughout Friday’s session. On the S&P 500, 9 of 10 sectors closed in the red, as stocks in the Energy, Financials and Technology industries lagged. Stocks in the telecommunications sector led, getting more than 0.6% on the session. The, meanwhile, lost 64.07 or 1.29% to 4,894.55. Regardless of the sell-off over the last two sessions, the major indices are still up more than 10% from February’s lows.
Yields have fallen precipitously over the in 2014 amid a vast array of reducing initiatives by top central banks worldwide. Previously, this week the European Central Bank launched a thorough corporate bond buying program aimed at reinforcing inflation. Investors likewise kept a close eye in advancements in the U.K. after an ORB Brexit poll launched on Friday revealed that 55% of voters support a mandate to leave the European Union.
The leading performer on the Dow was Verizon Holdings (6:-RRB-, which added 0.72 or 1.39% to 52.67. While the telecom giant supposedly increased its offer for Yahoo’s (NASDAQ:-RRB- core assets in the second round of bidding to $3.5 billion, according to numerous outlets, the bid drags a reported $5 billion offer from leading competing T. The worst performer was Goldman Sachs Group Inc (NYSE:-RRB-, which lost 3.28 or 2.14% to 149.89. Goldman Sachs (NYSE:-RRB- finished just below Caterpillar Inc (NYSE:-RRB-, which fell 1.13 or 1.46% to 26.03. Caterpillar (NYSE:-RRB- shares dropped on Friday, as the British pound fell greatly against the dollar weighing greatly on international commodities.
The greatest gainer on the NASDAQ was Walgreens Boots Alliance Inc (NASDAQ:-RRB-, which added 3.46 or 4.38% to 82.47. On Thursday, the New york city Post reported that a proposed $17 billion merger in between Walgreen’s and Rite Aid might be on the verge of gaining regulative approval from the U.S. Federal Trade Commission (FTC). The merger could join two of the top three drug store chains in the country. The worst entertainer was Endo International, which fell 1.52 or 8.44% to 16.84. Shares in the specialty drug maker are down by more than 75% over the in 2014.
The top performer on the S&P 500 was HRB, which surged 2.69 or 12.49% to 24.23. Shares in H&R Block (NYSE:-RRB- extended gains from Thursday’s after-hours session, after the biggest tax preparer in the United States topped analysts’ profits expectations and enhanced its quarterly dividend by 10%. The Kansas City-based tax gigantic hiked quarterly dividends, despite a 4.5% decline in total returns over Tax Season 2016. The worst performer was Southwestern Energy Company (NYSE:-RRB-, which fell 1.59 or 10.79% to 13.15. Energy stocks weighed greatly on the index in Friday’s session, as Devon Energy Corporation (NYSE:-RRB-, Chesapeake Energy Corporation (NYSE:-RRB-, Murphy Oil Corporation (NYSE:-RRB- and NRG Energy Inc (NYSE:-RRB- likewise plunged more than 6%.
On the New York Stock Exchange, declining issues outnumbered advancing ones by a 2,433-579 margin.Disclaimer: Fusion Media would like to remind you that the data included in this website is not always real-time nor precise. All CFDs (stocks, indexes, futures) and Forex rates are not supplied by exchanges however rather by market makers, therefore prices might not be precise and might differ from the real market value, meaning prices are a sign and not proper for trading functions. For that reason Fusion Media does n`t bear any duty for any trading losses you may sustain as a result of utilizing this information. Combination Media or anybody involved with Blend Media will not accept any liability for loss or damage as an outcome of dependence on the details consisting of data, quotes, charts and buy/sell signals consisted of within this site. Please be fully informed concerning the dangers and costs associated with trading the financial markets, it is among the riskiest financial investment forms possible.

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