Stocks fell sharply, denting weekly gains, after a Republican proposal to avert the fiscal cliff did not find support, reducing hopes for a budget deal before 2012 ends. Economic data was positive, especially a 0.7% November rise in orders for durable goods. Tech stocks headed south, led slump in Research In Motion, which fell 22.7% on investor worries about the impact of the coming launch of the BlackBerry 10 platform. Micron Technology shed 6.9% a day after posting a wider loss as the co. a hit from weak demand and pricing. But some analysts remained upbeat on Micron. In the coming week investors will be looking for any effort to salvage negotiations to avert the “fiscal cliff”. Trading is expected to be thin, with many market participants out for the Christmas holiday on Tuesday.This week brings data on the Case-Shiller home-price index for October, December’s consumer-confidence data, weekly jobless claims and November new-home sales. Implied volatility inched higher in massive trading.
