Dow Pares loses but ends lower for the day on more extensive US jobs growth
Here are 3 good things to know about stocks right now
- The Dow Jones Industrial Average fell Friday for a fifth straight day Friday after the US economy dropped far fewer jobs than expected in February.
- Costco Wholesale (COST) performed stronger than expected in Q2, but lost Wall Street's revenue estimates. Stocks rose 5.1%.
- Marvell Technology Group (MRVL) issued a earnings forecast for its first quarter last year under Wall Street estimates. Stocks fell 2.1%.
Wall Street Overview
Stocks ended the worst week of the year on a Friday 8 countdown. March, when the three largest US stock indices packed five fast days of losing news of a disappointing US job report for February.
The Dow Jones Industrial Average ended the day down 22.29 points, or 0.9% to 25.450, the S&P 500 was down 0.21[ads1]%, and the Nasdaq fell 0.18%.
"Obviously, the headline number is terrible," said Brad McMillan, chief investment officer for the Commonwealth Financial Network. "There is no sugar coating in it. But then you look at it and you say," Wow, unemployment went down, unemployment went down. "So you look at it and you, OK, the job market is still actually quite healthy when you look at the balance between supply and demand. And then you say," OK, have we had times before when we have seen a terrible report? & # 39; And we have it. It can be sometime. If you look at consumer confidence or business security, then in the last couple of months you have come a significant step back and you saw a decline. "
Tendayi Kapfidze, chief economist at Lending Tree, said that while February was one of the weakest months of job growth since the financial crisis, it was still the 101th fast month with gains.
" The labor market remains robust and the economy remains quite strong despite the weak February issue, "Kapfidze said in an email." There may have been some effects of the government's suspension, which reduced both business and consumer confidence. This report supports Fed interest rate hikes, even though the Fed itself is taking a beating. The Fed is double the mandate associated with the labor market and inflation. confirms the continued strength of the labor market. If wage gains result in higher overall inflation, the Fed may have to raise prices later this year. "
Also denting sentiment Friday was a word that the United States and China have not yet set a date for a summit to resolve their trade conflict, according to Terry Branstad, the US ambassador to China. than 20%, most in three years, when the two-year effect of the annual moon's holiday and the ongoing trade war with the United States hammered external demand.
Jim Cramer suggested investors look at the "tried and true names" in a tough market.
"This is when you buy Procter (PG), this is when you buy Clorox (CLX)," he said. "This is when you return to the tried and true names that go well in a slowdown." 19659007] Some good news: US housing starts increased 18.6% in January, according to the Department of Commerce, and are rising at an annual rate of 1.23 million
Costco Wholesale (COST) reported a quarterly revenue of $ 2.01 per share, up nearly 72% from the same period and well before Wall Street could The census forecast of $ 1.69 per share, revenue grew 7.3% to $ 34.63 billion, but lost analysts' estimates of $ 35.65 billion. Stocks climbed 5.1%.
Marvell Technology Group (MRVL) issued an earnings forecast for its first quarter last year under Wall Street estimates.
Marvell said it expects the revenue adjustment for the first quarter to be 12 cents to 16 cents per share on sales of around $ 650 million, plus or minus 3%. Analysts had requested an adjusted profit of 23 cents per share on revenue of $ 718 million. Stocks were down 2.1%.
