Worst Week in Over a Year for Wall Street Sends Stocks Into the Tank

Michael Teague |

Wall Street closed out its worst week in over a year on Friday, with stocks dropping precipitously across the board about two percent by the bell, as investors were seized with fears of risk after data emerged suggesting weaker than expected growth out of China, as well as currency devaluations in key emerging market countries such as Turkey and India.

  • Standard & Poor’s 500: -2.09 percent to 1,790.29

  • Dow Jones Industrial Average: -1.96 percent to 15,879.11

  • NASDAQ Exchange: -2.15 percent to 4,128.17

Our Top Stories:

On the Dow:

The Dow Industrials were hit the worst to cap off what was already a terrible week for the benchmark index, with most components in the red by at least one percent. The only companies able to withstand the sell-off were Microsoft (MSFT) and Procter & Gamble (PG) making substantial gains after both released better-than-expected earnings reports for the recently-ended quarter. Major drug manufacturer Merck & Co. Inc. (MRK) also edged up, after news that the Food and Drug Administration determined that an allergy treatment in the company’s pipeline entailed no serious side effects.

On the S&P 500:

The week’s selling activity finally caught up with the S&P, whose only bright spot aside from Microsoft was tech hardware manufacturer Juniper Networks (JNPR) , who rose over 6 percent on some of the day’s heaviest trading, after another activist shareholder joined the chorus of those pressing for changes at the company.

Otherwise, techs were the hardest-hit by Friday’s bloodbath, with Micron Technology (MU) , Intel (INTC) , Yahoo! (YHOO) and Facebook (FB) were all dragged substantially lower. Aluminum giant Alcoa (AA) lost 5 percent after what had been a decent week, resulting from forecasts pointing to slower global economic growth in the year ahead.

On the NASDAQ:

Ariad Pharmaceuticals (ARIA) continued to shine, adding 20 percent by the closing bell as rumours of a big-pharma buyout continue to gain credibility. Other biotech stocks caught in the updraft included BioDelivery Services International (BDSI) , whose shares ended the day up nearly 50 percent.

Ubiquitous coffee-seller Starbucks (SBUX) added 2.5 percent after reporting excellent sales increases, but the NASDAQ buckled under its own tech sell-off, with Cisco Systems (CSCO) , Plug Power Inc (PLUG) , and BlackBerry (BBRY) joining the aforementioned companies in trading substantially lower on heavy volume.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
FB Facebook Inc. 115.40 0.30 0.26 25,070,364
AA Alcoa Inc. 29.04 0.16 0.55 3,870,822
HLF Herbalife Ltd. 47.99 -0.24 -0.50 1,176,576
INTC Intel Corporation 34.16 0.40 1.18 21,492,534
ARIA ARIAD Pharmaceuticals Inc. 13.16 0.09 0.69 3,755,966
CSCO Cisco Systems Inc. 29.25 -0.20 -0.68 27,069,499
BDSI BioDelivery Sciences International Inc. 1.85 0.10 5.71 736,397
JNPR Juniper Networks Inc. 26.83 -0.15 -0.56 3,788,652
SBUX Starbucks Corporation 57.21 -1.30 -2.22 16,869,957
TBBK The Bancorp Inc. 6.93 -0.04 -0.57 174,840
YHOO Yahoo! Inc. 40.07 0.44 1.11 8,588,544
MU Micron Technology Inc. 18.79 0.31 1.68 25,887,613
BBRY BlackBerry Limited 7.59 0.07 0.93 4,588,578
PLUG Plug Power Inc. 1.43 0.01 0.70 5,641,495
MSEXP Middlesex Water Co. $7 Pfd. n/a n/a n/a 0

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