YAHOO [BRIEFING.COM]: Technical
support and a retreating dollar helped stocks bounce back after falling sharply
in response to a disappointing jobs report, but there simply weren't enough
buyers to drive stocks to a sustainable gain. In turn, stocks logged their
fourth straight loss, which left the stock market down 1.8% for the week.
News that private employers
slashed 263,000 jobs from payrolls during September struck stocks with
weakness. Economists, on average, had expected job losses to total just
175,000. The worse-than-expected jobs number caused the unemployment rate to
increase to 9.8% from 9.7%, but that was expected.
News that factory orders for
August made a surprise 0.8% drop didn't help the early tone.
Market watchers were initially
struck by the concerted selling effort that followed the disappointing data,
since it contrasted the willingness of participants during recent weeks to
shrug off worse-than-expected data. However, stocks were quick to show their
resilience to the morning selling effort by bouncing back to the unchanged mark
after coming in contact with the S&P 500's 50-day moving average, near
1020.
Stocks were also helped off of
their lows by a retreating U.S. dollar. The greenback surrendered an early gain
and settled with a 0.2% loss.
Stocks struggled to break
above the flat line, however. That invoked some more modest selling pressure
late in the session.
Financials had provided some
support to the broader market, but faltered into the close. The sector was down
as much as 2.1% and up as much as 1.1%, but finished with a loss of 0.1%. In
turn, only the consumer discretionary sector settled in positive territory; it
advanced 0.6%.
Trading volume was strong.
Roughly 1.4 billion shares exchanged hands on the NYSE. That marks the third
straight session that trading volume has eclipsed the 50-day moving
average.DJ30 -21.61 NASDAQ -9.37 NQ100 -0.2% R2K -0.6% SP400 -1.0% SP500 -4.64
NASDAQ Adv/Vol/Dec 943/2.47 bln/1720 NYSE Adv/Vol/Dec 986/1.40 bln/2018