Economy

Wall Street sinks on deepening tech woes

Wall Street sinks on deepening tech woes

Wall Street stocks finished on a positive note on Thursday (Mar 29), rallying ahead of a holiday weekend, but were down for the quarter for the first time in almost three years. The Nasdaq Composite Index was up 114.22 points, or 1.64 percent, to 7,063.44.

"People should expect what's happening given the kind of volatility we've seen as well as the fact that we're kind of in a news vacuum prior to quarterly earnings", Chuck Carlson, chief executive at Horizon Investment Services in Hammond, Indiana, said.

Global investors have cut their equity exposure to a four-month low in March, according to a Reuters poll, while reducing their holdings of USA stocks to the lowest in almost two years.

Despite Thursday's gains, the Dow and S&P 500 finished with losses for the quarter.

The S&P 500 index slipped 7.62 points, or 0.3% to 2,605, with six of its 11 main sectors ending in negative territory.

All eleven major S&P 500 sectors were positive.

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Economic data released on Thursday did little to change the expectations of interest rate hikes.

Meanwhile, U.S. personal income increased 67.3 billion U.S. dollars, or 0.4 percent, in February, while personal consumption expenditures increased 27.7 billion dollars, or 0.2 percent, the Commerce Department said Thursday.

Amazon fell more than 1 percent after President Donald Trump blasted the company with a list of complaints, a day after news website Axios reported that Trump wants to rein in the company's growing power using federal antitrust laws.

All three major USA indexes ended the day in negative territory following Tuesday's late-session tech-driven sell-off following Monday's rally as traders moved to defensive stocks after recent weeks' heightened volatility. The Nasdaq is holding to a 2.3 percent gain.

GameStop shares dropped 9.3 percent after the company provided disappointing full-year sales forecast.

Advancing issues outnumbered declining ones on the NYSE by a 1.12-to-1 ratio; on Nasdaq, a 1.22-to-1 ratio favoured decliners.