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Close Update: Stocks Close Lower For Third Straight Week as China, Oil Weighs

Stocks went into a tailspin on Friday, suffering its biggest one-day drop since China devalued the yuan as investors reacted to oil falling below $30 per barrel and falling Chinese stocks on worries about the country’s ailing economy.

Besides the energy sector, financials also took the brunt of Friday’s feeding frenzy as Friday’s deluge of economic data dimmed chances for a March rate hike. All ten sectors of the S&P 500 suffered significant losses, including defensive, utility and telecom stocks. Additionally, all 30 component stocks of the Dow were in the red, led by Intel ( INTC ) which reported upbeat Q4 results but disappointing data center growth.

As a result of Friday’s heavy losses, all three benchmark indices are lower for a third week in a row with the Dow and S&P 500 losing 2.2% and the Nasdaq Composite the laggard with a 3.3% loss this week.

The freefall in U.S. equities was triggered overseas when China unraveled on disappointing lending data, and ahead of Monday’s GDP data which is expected to show the Chinese economy grew at its slowest past in 25 years. Selling permeated Europe with a dive in oil magnifying worries about the global economy. By the U.S. open, Dow futures were already 400 points below fair value after the first round of Friday’s data gave the Federal Reserve ammunition to hold off on future rate hikes.

With the exception of business inventories and the University of Michigan consumer sentiment index, all of Friday’s economic data was negative, especially a significant drop in the Empire State manufacturing index.

Here’s where the markets stand at the close:

US MARKETS

Dow Jones Industrial Index was down 390.97 points (-2.39%)

S&P 500 was down 41.55 points (-2.16%)

Nasdaq Composite Index was down 126.59 points (-2.74%)

GLOBAL SENTIMENT

FTSE 100 was down 1.93%

Nikkei 225 was down 0.54%

Hang Seng Index was down 1.50%

Shanghai China Composite Index was up/down xxx

UPSIDE MOVERS

(+) SFX (+57.20%) Acquires $20 million in new financing

(+) REV (+11.52%) Shareholder pushes company to consider strategic alternatives

(+) BSI (+8.27%) Receives an additional offer for Blue Square Real Estate

DOWNSIDE MOVERS

(-) SRPT (-54.85%) FDA rejects BioMarin’s ( BMRN ) NDA for Duchenne Muscular Dystrophy

(-) INTC (-9.10%) Reported better-than-expected Q4 results, guided Q1 higher

(-) ERIC (-5.75%) Downgraded at Deutsche Bank to hold from buy

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Close Update: Stocks Close Lower For Third Straight Week as China, Oil Weighs Reviewed by on . Stocks went into a tailspin on Friday, suffering its biggest one-day drop since China devalued the yuan as investors reacted to oil falling below $30 per barrel Stocks went into a tailspin on Friday, suffering its biggest one-day drop since China devalued the yuan as investors reacted to oil falling below $30 per barrel Rating:
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