Heavy losses on Wall Street - June 5, 2010
The U.S. equity market, which opened on a negative note on Friday, steadily widening their losses throughout the session. Around 9:00 p.m., the Dow Jones moving down 2.7% to 9977 points, below 10,000 points. The Nasdaq fell 3.36% to 2226 points and the S & P by 3.27% to 1067 points.
Investors morale in the socks while the euro hit a new low since March 2006, more than four years. The euro fell below U.S. $ 1.2 on Friday night.
On Thursday, after a meeting very nervous, Wall Street has ended on a modest increase. But this Friday, the employment numbers came out worse than expected.The U.S. economy created 431,000 more jobs than it destroyed in May, said the monthly report on employment in the department, but analysts had expected a figure much better, however, since they felt that half million net new jobs were created in May, according to their median forecast.
Yesterday, the firm always announces that EPA's own figures with a time ahead of the official statistics said that the private sector fielded in May its fourth consecutive month of net job creation (55 000).To most observers the Labor Department figures should be much higher because they include the public sector has likely hired hundreds of thousands of people to the decennial census cheap pay day loans.
Fall of oil
Euro and weak U.S. indicators are worse than expected, the oil could only suffer.
The price of black gold fell on Friday in New York at the close, the price dropping more than $ 3.A barrel of light sweet crude for July delivery finished at 71.51 dollars (-4%).
Pfizer and Dell in the crosshairs
On the side of values, Pfizer Pharmaceutical Group (-1.92% to 14.94 U.S. dollars) has recalled about 400,000 units of intravenous drugs made by Indian generic group Claris and distributes it to the U.S. following a reminder from the FDA, the American drug agency.
Always on the side of values, the rating agency Standard and Poor's estimated at three years the time required for refinancing mortgage agencies Fannie Mae American (1%) and Freddie Mac to lock the bad loans they own or guarantee.For S & P, the problems are concentrated on housing loans contracted in 2006 and 2007, at a time when interest rates and purchase prices were much higher than today.
Also note, the president and founder of Dell (-2.8% to 13.4 dollars), Michael Dell, has revealed he planned to withdraw from the Stock Exchange the company he founded.