US stocks fall as ECB cuts growth outlook

Wall Street stocks fell in early trading today, extending a negative streak as the European Central Bank slashed its growth forecast. — Reuters pic
stocks fell in early trading today, extending a negative streak as the European slashed its growth forecast. — Reuters pic

NEW YORK, March 7 — Wall Street stocks fell in early trading today, extending a negative streak as the European Central Bank slashed its growth forecast.

The Dow Jones Industrial Average, which has fallen the last three days, dropped 0.7 per cent to 25,490.41.

The broad-based S&P 500 shed 0.6 per cent to 2,753.78, while the tech-rich Nasdaq Composite Index lost 0.8 per cent at 7,448.89.

The ECB announced fresh measures to juice the slowing eurozone economy, saying interest rates would remain at historic lows at least until the end of 2019 and offering new rounds of cheap loans to banks to keep credit flowing.



The moves came as the ECB cut its 2019 growth forecast to just 1.1 per cent from the prior 1.7 per cent. On Wednesday, the Organization for Economic Cooperation and Development lowered its forecast for the year.

The downcast ECB outlook comes amid a series of mixed economic reports in the United States. On Thursday, the Department of Labour reported that weekly claims dipped by 3,000 to 223,000. 

The report comes ahead of tomorrow’s key jobs report for February. Analysts expect the US added 173,000 jobs last month and that the unemployment rate dipped to 3.8 per cent from 4.0 per cent. — AFP

Source: The Malay Mail Online





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