View the article online at http://citywire.co.uk/wealth-manager/article/a722121
Overnight Markets: US stocks fall on retail data
by Himanshu Singh on Dec 03, 2013 at 03:12
Wall Street closed down on Monday as strong economic data failed to extend an eight-week market rally after a report showed the first spending decline on a Black Friday weekend since 2009.
The Dow Jones Industrial average fell 78 points, or 0.48%, to 16,009. The Standard & Poor's 500 Index was down five points, or 0.27%, at 1,801. The Nasdaq Composite Index was down 15 points, or 0.36%, at 4,045.
Institute for Supply Management said the US manufacturing sector expanded last month at its fastest pace since April 2011, exceeding forecasts. Construction spending also surpassed expectations, pushing oil prices to 2-1/2 month highs as investors bet on a spike in energy usage from the resulting higher economic activity.
However, US retailers fell after a report showed the first spending decline on a Black Friday weekend since 2009. Purchases at stores and websites fell 2.9% to $57.4 billion during the four days beginning 28 November Thanksgiving holiday, according to a survey commissioned by the National Retail Federation.
Urban Outfitters Inc. lost 3.5% as retail spending fell on the weekend after Thanksgiving for the first time since 2009.
EBay Inc. climbed 1.6% as online spending on Black Friday rose 15% to a record $1.2 billion, according to ComScore Inc.
Newmont Mining Corp., the world’s second-largest gold producer, fell 4% as the precious metal’s price declined. 3M Co. lost 4.4% after Morgan Stanley downgraded the stock.
Graham Holdings Co., which is changing its name from Washington Post Co., lost 3.6% after the education and media company agreed to sell its headquarters building in downtown Washington to Carr Properties for about $159 million.
3M dropped 4.4% for the biggest loss in the Dow after Morgan Stanley downgraded the stock.
Travelers Cos. slid 1.9% after it was cut to neutral from buy at Goldman Sachs Group Inc.
News sponsored by:
Ian McVeigh and Steve Davies, managers of Jupiter's UK Growth fund, talk about their predictions for the UK equity space. Click here to watch a series of sponsored interviews with Jupiter's fund managers on the UK equity market.