Stocks tumbled for a second session after the Federal Reserve left rates unchanged and declined to signal another round of quantitative easing. A report that German Chancellor Angela Merkel rejected the idea of increasing Europe’s bailout fund, weighed on the market. Also, retail sales for November rose 0.2%, which was lower than 0.6% rise expected. Early tech gains rally faded away, as Amazon and Intel led the sector in a retreat. Amazon fell 4.8% after the co. announced that it has extended the deadline for customers to get free shipping in time for Christmas by four days, to Dec. 19. Intel slid another 1.8%, a day after the chip giant cut its fourth-quarter sales outlook due to the impact of the hard-disk drive shortage. Implied volatility inched higher on moderate trading volumes.
Wednesday, December 14, 2011
Extended losses after the Fed’s report
Stocks tumbled for a second session after the Federal Reserve left rates unchanged and declined to signal another round of quantitative easing. A report that German Chancellor Angela Merkel rejected the idea of increasing Europe’s bailout fund, weighed on the market. Also, retail sales for November rose 0.2%, which was lower than 0.6% rise expected. Early tech gains rally faded away, as Amazon and Intel led the sector in a retreat. Amazon fell 4.8% after the co. announced that it has extended the deadline for customers to get free shipping in time for Christmas by four days, to Dec. 19. Intel slid another 1.8%, a day after the chip giant cut its fourth-quarter sales outlook due to the impact of the hard-disk drive shortage. Implied volatility inched higher on moderate trading volumes.
