(MENAFN- ProactiveInvestors) U.S. stocks fell in early afternoon trading today weighed by data that showed the economy contracted in the first quarter and further fuelled by weak May economic data.
The S&P 500 (INDEXSP:.INX) skidded 0.5 percent to 2110 at 3:34 p.m. in New York. The 30-company Dow Jones Industrial Average (INDEXDJX:.DJI) sank 0.5 percent to 18042 and the tech-heavy Nasdaq 100 (INDEXNASDAQ:NDX) slipped 0.4 percent to 4515.
The economy contracted at a 0.7 percent annual rate in the quarter a sharp turnaround from an earlier estimate of growth of 0.2 percent.
A gauge today showed Chicago-area manufacturing activity contracted this month to its lowest level since February fuelling concerns about the vitality of a rebound from a weak first quarter.
The GDP report also showed that corporate profits declined 8.7 percent in the first quarter the largest drop in a year.
Conflicting reports on Greece's ability to strike a deal with its euro zone partners also weighed on global markets.
MOVERS:
() rose 4.3 percent to $49.00 after the New York Post reported that () was close to buying the chipmaker for about $15 billion. was up 1.3 percent to $34.47. Talks between the two have been widely reported and a deal is now seen happening by the end of next week.
() fell 5.2 percent to $67.49 after the data analytics software maker posted a bigger quarterly loss weakened by higher expenses.
() jumped 6.8 percent to $43.72 as the world's largest retailer of video game products reported better-than-expected profit and revenue helped by downloads for new videogames and digital games.
() dropped 2.4 percent to $43.98 after the discount retailer guided for current-quarter earnings below market expectations.
() dropped 1.7 percent to $66.63 as the footwear and apparel retailer fell 16 cents shy of estimates with adjusted quarterly profit of 51 cents per share with revenue also missing forecasts.
Deckers Outdoor (NYSE:DECK) slumped 4.2 percent to $68.24. The maker of UGG boots gave a below-consensus forecast for the current quarter while raising its earnings projections for the full year.
Heron Therapeutics (NASDAQ:HRTX) surged 59 percent to $19.66 after the company's nausea drug met the main goal in a late-stage trial.
Greif (NYSE:GEF) tumbled 9.6 percent to $37.76 after the producer of industrial packaging products and services cut its outlook for the year citing projected lower volumes in North America and the effect of the stronger dollar.
COMMODITIES:
Gold for August delivery rose 0.1 percent to settle at $1189.80 an ounce on Comex after earlier tapping a low of $1186.
July crude tacked on 4.5 percent to settle at $60.30 a barrel on the New York Mercantile Exchange. It rose about 1.1 percent for the month.
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