The Joplin Globe, Joplin, MO

Business

December 27, 2012

Market wavers on jobless claims, fiscal cliff

NEW YORK — The stock market struggled for direction Thursday morning as investors were torn between encouraging news about a decline in claims for unemployment benefits and discouraging signs that a budget impasse in Washington is far from being solved.

Major indexes dipped between small gains and losses in early trading.

Around 10 a.m. EST, the Dow Jones industrial average was down seven points at 13,104. The Standard & Poor’s 500 was down a point at 1,418. The Nasdaq composite index was down less than a point at 2,987.

Earlier in the morning, the government reported that the number of people seeking unemployment benefits over the past month fell to its lowest level since March 2008.

The figures were affected by the Christmas holiday. A Labor Department spokesman said many state unemployment offices were unable to compile complete data because they were closed Monday and Tuesday.

Unemployment remains high. At 7.7 percent, it’s lower than it’s been in nearly four years. But to many, that still feels more like a recession than a recovery, which the U.S. has technically been in for more than three years.

Stocks are also still digesting this week’s news that the holiday shopping season hasn’t been as strong as retailers hoped, another sign that the economy is still struggling.

Overall it was a quiet morning on the market, with many traders still on vacation and few major company announcements scheduled. It was the first day of post-Christmas trading for European markets, and most major indexes there rose.

In Washington, the “fiscal cliff” neared with no resolution to a budget standoff. Higher taxes and government spending cuts kick in next week if Republicans and Democrats can’t reach a budget compromise by Dec. 31. The uncertainty has made investors pull money out of stocks.

The “fiscal cliff” talks gained an extra layer of urgency late Wednesday with the news that the government is going to hit its $16.4 trillion borrowing limit — its so-called debt ceiling — on Monday.

Treasury Secretary Tim Geithner told Congress that he would use accounting measures to try to save approximately $200 billion. But those are stopgap measures, which would keep the government from going over its borrowing limit for probably only a couple of months.

Chipmaker Marvell Technology Group dropped 4 percent after the company lost a patent case brought by Carnegie Mellon University. Marvell said it would fight the $1.2 billion ruling.  

In Japan, the benchmark Nikkei 225 index rose to its highest close since March 2011. The country is preparing for the incoming, pro-business prime minister, Shinzo Abe. He has called for more public works spending to reinvigorate the economy, and measures to drag the country out of deflation, or steadily declining prices.

 

1
Text Only
Business
  • Oil Prices.jpg Oil on 2-week slide even with Mideast turmoil

    The price of oil fell for the ninth straight day Wednesday as global supplies continue to flow despite unrest in the world’s most important oil-producing region.

    July 9, 2014 1 Photo

  • Business Alcoa helps lift market after 2 days of declines

    Corporate earnings season got off to a positive start Wednesday, helping lift the stock market after two days of declines.

    July 9, 2014 1 Photo

  • Britain Rolls Royce 1.jpg Luxury Rolls-Royce car sales soar worldwide

    They are rolling symbols of wealth and excess, starting at $263,000 a pop, with most buyers choosing custom options that can easily double the price. And they are more popular than ever before.

    July 9, 2014 2 Photos

  • Corinthian Colleges seeking to reassure students

    A for-profit education company sought to reassure nervous students Tuesday that they’ll be able to finish their degrees even though their campuses were being closed amid concerns from the Education Department about its practices.

    July 9, 2014

  • Business Dow tops 17,000 after strong jobs report

    A strong jobs report pushed up the stock market higher Thursday, with the Dow Jones industrial average crossing 17,000 for the first time.

    July 3, 2014 1 Photo

  • US, China vow to improve cooperation

    The United States and China vowed Wednesday to improve their economic and security cooperation, saying they wouldn’t let persistent differences over maritime claims, cyberhacking and currency hamper a relationship critical to global peace and prosperity.

    July 9, 2014

  • Economy.jpg US employers added robust 288k jobs in June

    U.S. employers accelerated their hiring last month, adding a robust 288,000 jobs and helping drive the unemployment rate to 6.1 percent, the lowest since September 2008.

    July 3, 2014 1 Photo

  • Business Stocks creep up after 2 days of losses

    Stocks inched higher in early trading Wednesday, reversing a two-day decline, as the quarterly earnings season got underway with some positive news from the giant aluminum company Alcoa.

    July 9, 2014 1 Photo

  • Business Stocks fall for a second day; Nasdaq slumps

    Investors unloaded all manner of stocks Tuesday as they wait for corporate earnings reports to help them determine whether a recent run-up in the market is justified. Internet companies bore the brunt of the selling.

    July 8, 2014 1 Photo

  • Joplin council hears update on job expansion programs

    Economic development projects underway should bring about 500 new jobs to Joplin by year’s end, Rob O’Brian, president of the Joplin Area Chamber of Commerce, members of the Joplin City Council on Monday.

    July 8, 2014

Poll

Missouri Gov. Jay Nixon has vetoed legislation that sought to increase the tax credits available for donations to organizations providing food to the poor and aid to pregnant women, saying it would have eroded government funds needed for education and other services. Do you agree with the veto?

A. Yes.
B. No.
     View Results
Facebook
Twitter Updates
Follow us on twitter
NDN Video
Connecticut Boy Dies Inside Parked Car World's Tallest Water Slide: See It for Yourself Fans Dying to Be Near Jazz Greats Robots Gearing Up for Their Own 'World Cup' APNewsBreak: Different Attackers in Benghazi? Four Kids, Two Adults Shot Dead Near Houston Argentina to Face Germany in World Cup Final Service Held for 200 Whose Bodies Went Unclaimed Kim Kardashian Hits Up Valentino Show in Paris "Hotwives" Spoofs Reality TV Israeli Offensive Escalates in Gaza Attack Dozens Gain Citizenship As Debate Continues Dodgers Found Partly Responsible in Fan Beating Children of Deported Parents Speak Out GOP: Immigration a 'human Rights Issue' Raw: 10-year Sentence for Ex-New Orleans Mayor Raw: Fans Gather for Argentina-Netherlands Match Froome Crashes Out on Bumpy 5th Tour Stage Obama Talks Economy, Slams Republicans Police: Prostitute Accused in Overdose Death