By Anora Mahmudova, MarketWatch
NEW YORK (MarketWatch) -- U.S. stock fell sharply Friday,
pushing the Dow industrials below 16,000 at one point, as a global
rush out of stocks and emerging-markets currencies deepened, while
company earnings offered investors little respite.
Main indexes are headed for steep weekly losses. The S&P 500
(SPX) fell 23.24 points, or 1.3%, to 1,804.33 and is set to record
its second straight week of losses.
The Dow Jones Industrial Average (DJI) dropped 197.7 points, or
1.2%, to 16,002.24 and is headed for a steep weekly loss. It traded
below 16,000 for the first time since Dec. 18.
The Nasdaq Composite (RIXF) lost 59.54 points, or 1.4%, to
4,159.50 and on track to record a weekly loss after two weeks of
gains. Over the course of the week, the tech-heavy index has wiped
out its early 2014 gains. Follow the U.S. markets on the live
blog
Investors began selling stocks heavily and riskier assets such
as emerging-markets currencies on Thursday following weak Chinese
economic data. Main indexes on Wall Street sold off, prompting some
analysts to call it the beginning of a long-awaited correction.
Adding to the pressure from emerging markets, Argentina on
Friday loosened restrictions on purchases of U.S. dollars after it
devalued the peso.
"We think the flight to quality will continue, as investors
realize how much profit they have made in the S&P 500 last
year. This kind of selling could well be a spark for the
correction," said Uri Landesman, president at Platinum
Management.
Investors digested earnings results from several heavyweights in
a day with no U.S. economic data.
Kimberly Clark Corp. (KMB)announced its fourth-quarter earnings
jumped to $539 million, or $1.40 per share, beating analysts'
expectations. Shares in the consumer-goods company rose 2.8%.
Procter & Gamble Corp.'s (PG) profit fell, but its core
earnings beat expectations. Shares in Procter & Gamble rallied
2.8%.
Honeywell International Inc. (HON) shares fell in a choppy trade
and were down 0.2% as the company's quarterly earnings missed
expectations.
Bristol-Myers Squibb Co. (BMY) reversed earlier gains and
dropped 3.7% soon after the pharmaceutical company reported a
better-than-expected rise in revenue and earnings.
Shares in Care.com (CRCM) jumped 34% on their debut, after the
non-medical-care management company sold shares at $17, the higher
range of its initial offer.
Shares of Microsoft (MSFT)(MSFT) bucked a weaker tech tone, up
2.9% after the company beat Wall Street estimates with
fourth-quarter results.
Shares of Starbucks (SBUX) were up 3.2% as the coffee giant
posted a 25% rise in profit, though sales missed Wall Street's
targets.
EBay Inc. (EBAY) fell 0.47% after Carl Icahn said he is ready
for a proxy fight to win two seats on the board of the online
auctioneer, with the intent of pushing eBay to spin off PayPal.
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