Stocks Trade Lower
U.S. stocks traded lower across-the-board by mid-day trade on Friday as simmering concerns over early tapering of the Fed’s bond purchase program overshadowed some reasonably satisfactory economic data.
At last check, the DJIA fell 0.39%; the NASDAQ Composite Index lost 0.39%; while the S&P 500 Index edged down 0.24%.
U.S. consumer sentiment coiled back in June. The Thomson Reuters/ University of Michigan’s preliminary reading on the consumer sentiment index fell to 82.7, having climbed to its highest level in last six years in May. Economists polled by MarketWatch were expecting the Index to show a reading of 84.7 while Reuters’ poll suggested that reading would remain unchanged at 84.5.
The Labor Department said that producer price rose 0.5% in May as gasoline prices increased. The rise in the producer price index (PPI) was more-than-expected. Economists forecasted for 0.1% increase. The Index fell 0.7% and 0.6% in April and March, respectively.
The Industrial productions in May remained unchanged whereas economists were expecting a growth of 0.1%.
The Labor Department said that the U.S. current account deficit widened to $106.1billion in the fiscal first quarter from downwardly revised deficit of $102.3 billion in the fourth quarter of last year. Economists polled by Reuters anticipated a wider deficit of $109.7 billion.
Shares of Restoration Hardware Holdings Inc. (NYSE: RH) rallied about 18% by midday trade. The home furnishing retailer said late last evening that lower expenses and improved revenue helped to narrow fiscal first quarter loss. Both earnings and revenue topped analysts’ expectations. The Company not only provided upbeat guidance for the second quarter but also lifted full-year outlook.
Shares of Casey’s General Stores Inc. (NASDAQ: CASY) plunged about 3.50% by midday trade as the convenience store chain on Thursday handed lower-than-expected fiscal fourth quarter revenue.