Wall Street extends losses after ADP jobs report
0 Comment(s)
Print
E-mail Xinhua, June 5, 2013
U.S. stocks opened lower Wednesday, following Tuesday's retreat, after a private hiring report came in worse than expected.
U.S. private sector employment added 135,000 jobs in May, according to the report, produced by ADP, a leading provider of human capital management solutions, in collaboration with Moody's Analytics. The figure was far below economists' forecasts.
The ADP reading was an advanced indication of the U.S. Labor Department's closely watched May nonfarm payroll report, scheduled for release Friday.
However, a weaker U.S. economy may reduce the possibility that the Federal Reserve will curtail its bond-buying activities soon.
Stock volatility has been rising in recent weeks due to investors' continuing speculation on prospects of the Fed's quantitative easing policy.
Meantime, U.S. unit labor costs fell 4.3 percent in the first quarter, the biggest drop in four years, while productivity advanced 0.5 percent, according to the Labor Department.
Other data due out Wednesday includes factory orders, nonmanufacturing activity index and the Fed's Beige Book.
In corporate news, shares of JP Morgan Chase fell as the largest U.S. bank by assets suffered a loss of 842 million U.S. dollars in the bankruptcy deal of Jefferson County, Alabama.
Shortly after the opening bell, the Dow Jones Industrial Average lost 32.52 points, or 0.21 percent, to 15,145.02 points. The S&P 500 ticked down 4.41 points, or 0.27 percent, to 1,626.97 points. The Nasdaq Composite Index shed 12.65 points, or 0.37 percent, to 3,432.61 points. Endi
Go to Forum >>0 Comment(s)