Thursday, September 20, 2012

Stocks Modestly Lower on Weak Economic Data

from WSJ:

NEW YORK—Stocks opened lower on signs of global economic weakening, as the U.S. posted worse than expected labor-market data...

Initial claims for jobless benefits in the latest week declined slightly from the previous week, to 382,000. That was a smaller drop than expected by economists, who expected a decline to 373,000.
"The data points to the fact that we're in a below-average, painfully sluggish economy," said Hank Smith, chief investment officer of Haverford Trust, a Radnor, Pa.-based firm with $6.5 billion under management. "The market has come a long way recently, so it wouldn't be surprising for it to take a pause here."

PMI data for China and Europe showed contraction also. However,  the Dow is down only about 20 points. Wall St is pricing stocks for a miracle in Q3 and Q4.