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Stocks end third straight down day, Nasdaq losses deepen

  • Stocks finished lower for the third straight session, extending the selloff that took hold late last week and culminating in the Nasdaq's biggest three-day drop since August 2011.
  • The Russell 2000 (-1.5%) and Nasdaq (-1.2%) led the retreat, while the Dow (-1%) and S&P 500 (-1.1%) didn't fare much better.
  • Traders say today's decline reflected investor positioning ahead of an expected lackluster series of Q1 earnings reports coming up; earnings among companies in the S&P 500 are expected to decline 1.4%, which if true would mark only the second Y/Y drop in earnings since the financial crisis.
  • Financial stocks were among the biggest decliners, reflecting expectations for an earnings slowdown; blue-chip tech names such as Cisco and IBM were among the biggest gainers, but many of the fast-growing internet, social media and biotech companies that have been hit hard recently extended their losses.
  • The dollar edged lower vs. the euro and yen, and the 10-year Treasury yield fell 3 bps to 2.695%.
Comments (4)
  • Nettligent
    , contributor
    Comments (1345) | Send Message
     
    We have not see the worst yet...so many "momentum" stocks and bad earnings will dragging us all down. Correction is inevitable and healthy for our market.
    7 Apr, 08:45 PM Reply Like
  • 1980XLS
    , contributor
    Comments (3316) | Send Message
     
    Yes, losing money is "healthy"

     

    That's what asset managers tell their clients after getting them in at the top and/or ridiculous valuations.

     

    Even when valuations are obscene, they still have to make a living selling every day, ya know.

     

    Buy, buy , buy! valuations don't matter ($LNKD)
    7 Apr, 09:08 PM Reply Like
  • 1GreatCFA
    , contributor
    Comments (881) | Send Message
     
    Speak for yourself. THIS A-manager has 34% cash on hand for when this mini blood bath finishes. Fee taker huh?
    7 Apr, 11:04 PM Reply Like
  • User 8651921
    , contributor
    Comment (1) | Send Message
     
    Yes losing money is healthy. Its called learning and nothing in life is free. Those asset managers do have to make money and if their clients allow them that luxury then these clients have no one to blame but themselves.

     

    caveat emptor
    7 Apr, 11:35 PM Reply Like
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