Major US stock indexes shifted lower during the afternoon trade on Friday, maintaining the track for their third day of downfall this week.
The analysts said that the latest government data, which showed a slowdown in the economic growth of the United States, helped to hold back the stocks to mostly lower level.
The Dow Jones industrial average declined 106 points or 0.6 percent to 17,310 at 1:02 pm Eastern, while the Standard & Poor’s 500 dropped 11 points or 0.6 percent to 2,009. On the other hand, the Nasdaq composite fell four points or 0.1 percent to 4,678.
The US Commerce Department reported that the country’s economy continued to grow 2.6 percent in the October-December quarter, down from a rise of 4.6 percent in the second quarter as well as 5 percent during the third quarter.
The consumer spending growth was offset due to weaker business trade, investment and government spending.
The US Labor Department, on the other hand, reported that benefits and wages increased 2.2 percent in 2014, which is the fastest pace in six years.
The US Federal Reserve Bank is closely keeping a watch on the wages as it considers when to raise the interest rates from near zero this year.
Nine out of the ten sectors in the S&P 500 dropped with the industrial stocks dropping the most.
Chevron’s shares fell 2.4 percent after the oil firm reported a 30 percent drop in fourth-quarter profit. The stock was the biggest decliner in the Dow as it dropped USD 2.48 to USD 100.55.
E-commerce giant Amazon.com’s shares surged 13.7 percent a day after the company beat expectations of quarterly profit by a mile. Its stock gained USD 42.80 to USD 354.50.
The US crude prices increased USD 1.04 or 2.4 percent to USD 45.58 per barrel in New York. On the other hand, the contract surged 8 cents to close at USD 44.53 on Thursday.
The US dollar dropped to 117.41 yen from 118.20 the previous day, while the euro declined to USD 1.1291 from USD 1.1327. The Russian ruble fell to 70.11 rubles per US dollar from 68.76 after the US Federal Reserve Bank unexpectedly slashed the interest rates to 15 percent from 17 percent to support the weakening economy.
The government bond prices increased and the yield on the 10-year Treasury note dropped late Thursday to 1.66 percent from the previous 1.75 percent, which is the lowest level since May 2013.