Dow plunges more than 600 points, Nasdaq enters a correction

Dow plunges more than 600 points, Nasdaq enters a correction

Dow plunges more than 600 points, Nasdaq enters a correction

The Dow Jones Industrial Average jumped 500 points, or 2 percent.

USA bond prices rose. Technology and consumer-focused companies accounted for much of the sell-off. In Asia, Japan's benchmark Nikkei 225 lost 0.4 percent, while South Korea's Kospi dropped 1.8 percent.

Earlier in the day, Twitter surged 15 percent in its biggest one-day gain in a year after the social media company easily beat Wall Street's revenue and profit estimates.

During Thursday's official trading session, all four FANG stocks rallied by between 3 percent and 7 percent, regaining some of the territory lost in recent weeks during a broad market sell-off.

The S&P 500 index slid 56 points, or 2.1 percent, to 2,648 as of 10:07 a.m.

The absence of a tax-cut boost and the likelihood of higher interest rates, which can raise borrowing costs for businesses, are also giving investors reasons to worry that company earnings growth will slow. Hong Kong's Hang Seng sank 1.1 per cent.

While U.S. economic growth kept apace despite trade wars, the same can not be said of U.S. corporate profit growth, as a slew of disappointing forecasts this earnings season showed how tariffs, rising wages and borrowing costs as well as jitters over geopolitical events are hurting companies.

The Dow is down 135.80 points, or 0.5 percent. The S&P discretionary index fell 3.6 per cent.

In the US, Friday's steep declines were triggered by disappointing quarterly results from tech giants Amazon and Google-owner Alphabet. A gain above 3.26% would have been the Nasdaq's best day since August 2015, and the index flirted with that level late in the afternoon before falling just before the close.

Banks, health care and industrial companies also took heavy losses, outweighing gains by utilities and other high-dividend stocks. But Asian markets took big losses, as the US market did the day earlier. Texas Instruments, a major chipmaker, slumped 8.2 percent and AT&T fell 8.1 percent.

United Parcel Service slid 5.5 percent to $107.93 after the shipping company reported weak global revenue, while the strong dollar and high fuel prices also hurt its results.

Investors moved to the relative safety of United States government bonds, which move inversely to yields, withthe 10-year falling 3.9 basis points to 3.077%, its lowest level in three weeks.

The S&P 500 had index plunged 9.2 percent since October 3 as investors anxious about climbing interest rates and the effects of the U.S-China trade dispute. Of those, 57 percent delivered earnings and revenue results that topped Wall Street's forecasts. Eastern Time. The Dow Jones Industrial Average dropped 402 points, or 1.6 percent, to 24,581.

Before the open, the Commerce Department said the USA economy grew in July through September at a slightly slower pace than a blockbuster expansion earlier in the year, marking the best back-to-back quarters since 2014. Germany's DAX slipped 0.9 percent, while France's CAC 40 dropped 1.3 percent.

Boeing jumped 2.2 per cent in early trading Wednesday after beating analysts' earnings forecasts and raising its estimates for the year, citing faster orders for aircraft.

The dollar fell to 111.85 yen from 112.61 yen on Thursday. The euro rose to $1.1408 from $1.1393.

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