Dow drops 666 points and posts its worst week since 2016

A trio of traders work in a booth on the floor of the New York Stock Exchange Tuesday Jan. 30

A trio of traders work in a booth on the floor of the New York Stock Exchange Tuesday Jan. 30

The Dow Jones Small-Cap Value TSM Index closed at 10,123.09 for a loss of -201.26 points or -1.95%.

It was the largest point fall in one session of the Down since December of 2008 which was when the country was in its financial crisis.

Still, Friday was the Dow's worst drop in percentage terms since June 24, 2016, when the markets were rocked by Britain's surprise vote to leave the European Union.

Analysts have been eyeing an increase in United States bond yields that accelerated further on Friday after a stronger-than-expected U.S. jobs report raised expectations more Federal Reserve interest rate increases could be coming.

"It definitely depends on rates, and the closer we get to [10-year yields at] 3 percent, the greater the likelihood you see a pullback which could be as deep as the 100-day moving average", said Julian Emanuel, chief USA equity and derivatives strategist at BTIG.

For instance, the benchmark Standard & Poor's 500 index jumped an eye-popping 7.5 percent in January alone.

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In addition, about 100 settlement outposts have been erected without official approval but Israel generally tolerates them. Roger Kuby, Shevach's father-in-law, told AFP the government move was "a small consolation, but an important gesture".

The higher wage growth and potentially higher inflation "might then lead the Federal Reserve to raise their interest rates more rapidly than the market is comfortable with", he told NPR's John Ydstie. Not even a record rally at Inc. could rescue the measure, as the world's biggest company, Apple Inc. hit its lowest since October.

The U.S. added 200,000 jobs last month - about 15,000 more than expected - and average hourly wages rose by nine cents.

Oddly enough, the decline in the blue-chip stock gauge stemmed from too much good news about the economy and jobs, which is viewed as a negative for stocks because it has spurred a sharp rise in borrowing costs. "That's inhibiting buyers more than creating sellers", Cashin said.

Markets have turned more volatile after a relatively quiet 2017 and first month of 2018.

The British pound fell 0.3 percent to $1.4223.

"It's a legitimate concern, when inflation spikes up a little bit, that people should evaluate how is this going to affect profits and how is this going to affect the Fed", said Jonathan Golub, chief US equity strategist at Credit Suisse.

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The win lifts Dortmund into second place in the Bundesliga , with 34 points from 21 matches. We want to climb as high as possible in the table and try to win every match".

I also outline various technical levels to be aware of on the major stock market indices.

Technology stocks took a particular drubbing Friday.

Google-parent Alphabet fell 4.8 per cent after reporting a $3 billion quarterly loss to set aside funds to pay taxes on repatriated profits. The index has lost 3.9 per cent since hitting a record high a week ago.

The Dow Jones reported its worst weekly return in two years while Treasury yields continued to gain. The level is seen by many stock-watchers as a potential trigger for a correction in equities.

GoPro, Inc. (NASDAQ:GPRO) is down 6% ahead of the bell, after J.P. Morgan Securities responded to last night's earnings miss by downgrading the camera concern to "neutral". The yield on the 10-year Treasury rose to 2.84 percent from 2.79 percent late Thursday.

Wells Fargo Ordered By Fed to Restrict Asset Growth
The Massachusetts-based Ironwood Ltd Liability has invested 0.35% in Cisco Systems, Inc. (NYSE:NYCB) or 1.95 million shares. Keefe, Bruyette & Woods restated a "buy" rating on shares of Wells Fargo & Co in a research note on Tuesday, January 16th.

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