U.S. stocks extend losses into second day
Analysts: Market primed for a pause after extended rise
NEW YORK (MarketWatch) — U.S. stocks fell Thursday, with the S&P 500 tallying its first two-day losing run this month, as a weak regional manufacturing index and uncertainty over U.S. monetary moves hit sentiment.“We’re facing sequestration, gas prices are higher and the payroll tax just went up, so people are starting to realize the impact on their paychecks,” said Schwab director of market and sector research Brad Sorensen.
The approach of the March 1 deadline for federal budget reductions, known as sequestration, also kept investors on shaky ground, with the Chicago Board Options Exchange Volatility Index, or VIX (MDE:VIX) , rising 9.5% following a 19% rise on Wednesday, its greatest leap since late 2011.
But Main Street and Wall Street are suffering from “government crisis fatigue — as we’ve been down this road so many times, so it’s another thing that goes into the mix,” said Sorensen.
After falling as much as 93 points, the Dow Jones Industrial Average (DJI
JIA) closed down 46.92 points, or 0.3%, to 13,880.62, with two thirds of its 30 components in the red. http://www.marketwatch.com/story/us-stocks-dr...beforebell
