clear
Sunday February 14th, 2016 12:59AM
5:24PM ( 7 hours ago ) Weather Alert

Stocks continue doward spiral

By The Associated Press
NEW YORK (AP) -- Weak hiring and worries about a protracted government shutdown pushed the U.S. stock market lower Wednesday.

U.S. businesses added 166,000 jobs last month, payroll company ADP said Wednesday, a level consistent with only a modest improvement in hiring. Economists polled by FactSet had forecast 180,000 jobs would be added.

The report may be the only news investors get on hiring this week because the Labor Department will postpone the release of its September jobs survey, scheduled for Friday, if the government shutdown goes past Wednesday.

About 800,000 federal workers were staying home again Wednesday on the second day of the first partial shutdown of the U.S. government since the winter of 1995-96.

Republicans in the House of Representatives are insisting that Democrats negotiate over the new health care law as part of the funding deadlock. Senate Democrats, led by Majority Leader Harry Reid of Nevada, insist that Republicans pass a straightforward temporary funding bill with no strings attached.

"The markets are sending a loud message to Washington lawmakers to get their act together and resolve the budget crisis and move on," said Peter Cardillo, chief market economist at Rockwell Global Capital.

The market moved sharply lower in early trading, then pared its loss in the late morning following news that President Barack Obama had invited Congressional leaders to the White House for a meeting on the shutdown.

The Dow Jones industrial average fell as much as 147 points in the first hour of trading. Shortly before noon it was down 80 points, 0.5 percent, at 15,111 points.

The Standard & Poor's 500 index was down six points, or 0.4 percent, at 1,688. The Nasdaq composite declined nine points, or 0.2 percent, to 3,808.

All 10 industry sectors in the S&P 500 fell. Declines were led by the makers of consumer staples and industrial companies.

Defense companies, which rely on government contracts for a large part of their revenue, led declines for industrial companies. Raytheon fell $2.06, or 2.6 percent, to $75.77. Lockheed Martin dropped $3.08, or 2.4 percent, to $131.60.

The longer the budget fight drags on, the more investors will start to fret about the looming showdown about raising the government's borrowing limit, said Brad McMillan, the Chief Investment Officer at Commonwealth Financial, an investment adviser.

Treasury Secretary Jacob Lew told Congress that unless lawmakers act in time, he will run out of money to pay the nation's bills by Oct. 17. Congress must periodically raise the limit on government borrowing to keep U.S. funds flowing, a once-routine matter that has become locked in battles over the federal budget deficit.

"I'm not going out there and beating my chest and saying the world is coming to an end here," said McMillan. "But we face the possibility for significantly greater disruptions than the market is currently pricing in."

The last time there was an impasse over the borrowing limit, in August 2011, it led to a downgrade of the United States' credit rating by Standard & Poor's and a plunge in the stock market.

In government bond trading, the yield on the 10-year Treasury note fell to 2.60 percent from 2.65 percent on Tuesday. The yield, which moves inversely to its price, is at its lowest in almost two months as investors seek to buy less risky assets amid concern about the strength of the economy.

In commodities trading, the price of oil climbed $1.48, or 1.4 percent, to $103.51 a barrel. Gold rose $28, or 2.2 percent, to $1,314 an ounce.

The dollar fell against the euro and the yen.

Among stocks making big moves:

- Monsanto fell $1.40, or 1.3 percent, to $103.60, after the company reported a wider loss than analysts were expecting because of weak sales of genetically engineered seeds.

- Global Payments rose $5.27, or 10.4 percent, to $54.96, after the company named a new CEO, sped up share repurchase plans and increased its profit outlook. The company provides electronic transaction processing services for retailers, financial institutions and government agencies.

- Empire State Realty Trust rose 36 cents, or 2.8 percent, to $13.36 after the company's initial public offering raised about $754 million. The company owns the Empire State Building and other office properties in New York and Conneticut.
© Copyright 2016 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
S&P 500 index has its best year since 1997
The stock market closed out a record year with more all-time highs on Tuesday, giving U.S. indexes their biggest annual gains in almost two decades.
6:56PM ( 2 years ago )
Colorado readies for 'Green Wednesday' pot sales
Police were adding extra patrols around pot shops in eight Colorado towns that plan to allow recreational sales to anyone over 21 on Jan. 1.
1:52PM ( 2 years ago )
Kerry seeks framework for Mideast peace talks
A senior State Department official says Secretary of State John Kerry will try this week to get Israel and the Palestinians to agree on a framework for negotiating a final peace agreement, yet cautions against raising expectations for Kerry's latest round of shuttle diplomacy.
1:35PM ( 2 years ago )
U.S. News
Missing Ga. bank director arrested in Brunswick
A bank director accused of losing millions of investors' dollars before vanishing last year was arrested Tuesday during a traffic stop in a city in south Georgia.
7:00PM ( 2 years ago )
Amtrak to suspend some Crescent service in Jan., Feb.
Amtrak service will shut down in parts of the Southeast for several days in January and February for rail maintenance by Norfolk Southern Railway.
9:00AM ( 2 years ago )
Lung cancer scans urged for some smokers, not all
Certain current or former heavy smokers should start getting yearly scans for lung cancer to cut their risk of death from the nation's top cancer killer, government advisers said Monday - even as they stressed that the tests aren't for everyone.
7:26AM ( 2 years ago )
Business News
Sex offender held in Hall County for failing to register
A 47-year-old man was booked into the Hall County Jail Tuesday, being held without bond for allegedly failing to register as a sex offender, his second such arrest.
6:09PM ( 2 years ago )
Pharmacy robberies may involve same suspect
Oakwood Police Tuesday afternoon released details in a pharmacy robbery they're investigating, similar to one that happened in the Hall County Tuesday morning.
5:46PM ( 2 years ago )
Victim critical following apartment fire
A 41-year-old woman was in critical but stable condition Tuesday after being rescued from an apartment fire in Forsyth County late Monday afternoon.
3:16PM ( 2 years ago )
Local/State News
Feeling US snub, Saudis strengthen ties elsewhere
Increasingly vocal in its frustration over U.S. policies in the Mideast, Saudi Arabia is strengthening ties elsewhere, seeking out an alignment that will bolster its position after it was pushed to the sidelines this year.
4:34PM ( 2 years ago )
NSA reportedly intercepts computer deliveries
A German magazine has lifted the lid on the operations of the National Security Agency's hacker unit, revealing how American spies intercepted computer deliveries, exploited hardware vulnerabilities, and even hijacked Microsoft's bug report system to spy on their targets.
12:31PM ( 2 years ago )
Rockets fired from Lebanon into Israel
Rockets from Lebanon struck northern Israel on Sunday, causing no injuries but sparking an Israeli reprisal shelling in a rare flare-up between the two countries.
12:26PM ( 2 years ago )
Politics
U.S, Cuba to resume commercial flights for 1st time in 50 years
The United States and Cuba will sign an agreement next week to resume commercial air traffic for the first time in five decades, starting the clock on dozens of new flights operating daily by next fall, U.S. officials said Friday.
By The Associated Press
9:35PM ( 1 day ago )
New details about the possible effects of the Zika virus on the fetal brain are emerging
WASHINGTON (AP) — New details about the possible effects of the Zika virus on the fetal brain emerged Wednesday as U.S. health officials say mosquito eradication here and abroad is key to protect preg...
6:22PM ( 3 days ago )
President Barack Obama is asking Congress for more than $1.8 billion in emergency funding to help fight the Zika virus
WASHINGTON (AP) — President Barack Obama is asking Congress for more than $1.8 billion in emergency funding to fight the Zika virus and the mosquitoes that spread it here and abroad, but says "there s...
10:40PM ( 5 days ago )
Search for Missouri couple wanted for crimes across the South, including Ga., ends with one suspect dead and the other wounded
A weeklong search for a Missouri couple wanted in a series of robberies and abductions across the South ended with one suspect dead and the other wounded Friday, after authorities say they chased the pair across the highway and through a rural neighborhood and exchanged gunfire with them in Florida's Panhandle.
By The Associated Press
9:57PM ( 1 week ago )
Cheap oil will be sticking around for a while, buoying consumers, frustrating oil producers
Cheap oil will be sticking around for a while.That reality is wreaking havoc and causing uncertainty for some governments and businesses, while creating financial windfalls for others. Less expensive...
6:18PM ( 1 week ago )