The Dow Jones industrial average (INDU) lost 166 points, or 1.4%, the biggest daily drop since Nov. 16, 2010. The S&P 500 (SPX) slipped 23 points, or 1.8%. The tech-heavy Nasdaq dropped 68 points, or 2.5%.
Those were the biggest drops since August for the S&P 500 and Nasdaq.
Investors are worried that the situation in Egypt could intensify over the weekend, and took some money off the table ahead of that possibility.
"Political turmoil is not good for the stability of the market, and Egypt is a populous country that borders one of the busiest shipping routes in the world, so that's getting investors nervous," said Peter Tuz, president at Chase Investment Counsel.
Oil also rallied on concerns about crude shipments through the Suez Canal, which is controlled by Egypt. About 8% of global sea trade travels through the canal, making it one of the world's busiest waterways.
Crude for March delivery rallied 4.3% to settle at $89.34 a barrel.
The U.S. economy grew at a 3.2% annual rate in the fourth quarter, according to an advance reading on gross domestic product released Friday morning. That's up from a 2.6% rate in the third quarter.
Though the figure missed economists' expectations for a slightly higher 3.5% rate, personal consumption, a measure of consumer spending, jumped by 4.4% in the fourth quarter -- the strongest increase in that reading in at least four years.
The dollar fell almost 1% against the Japanese yen, but rallied 1% versus the euro and 0.4% the British pound.
Gold futures for February delivery climbed $22.30, or $1.7%, to settle at $1,340.70 an ounce
No comments:
Post a Comment