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U.S. stocks edge lower as three-day rally peters out

Attendees participate in a workout outside of the

Attendees participate in a workout outside of the New York Stock Exchange after Fitbit Inc. IPO in Manhattan on Thursday, June 18, 2015. Credit: Bloomberg News / Michael Nagle

U.S. stocks drifted lower in afternoon trading Friday, on track to end a three-day streak of gains.

An impasse in bailout negotiations between Greece and its creditors and worries about a stock bubble in China, weighed on the market.

Energy stocks were among the biggest decliners as oil prices fell.

Among individual stocks, chocolate company Hershey slumped after cutting its revenue forecast.

KEEPING SCORE: The Dow Jones industrial average fell 53 points, or 0.3 percent, to 18,062 at 2:06 p.m. Friday on Wall Street. The Standard ... Poor's 500 index slipped five points, or 0.3 percent, to 2,115. The Nasdaq composite lost eight points, or 0.2 percent, to 5,124. The market was coming off a rally that sent the Nasdaq to a record high the day before.

THE QUOTE: "Even without the events in Greece hovering over the market and causing concern over the negotiations, a move like yesterday is typically followed by a bit of a pullback," said Quincy Krosby, market strategist for Prudential Financial.

UNAPPETIZING OUTLOOK: Hershey fell 3.3 percent after the chocolate and candy maker and cut its revenue outlook for the year because of weak demand in China. The company also said it plans to cut about 300 jobs by the end of the year. The stock lost $3.20 to $89.06.

DISAPPOINTING SALES: CarMax fell 1.8 percent after the used car dealership chain reported fiscal first-quarter sales that fell short of forecasts. The stock shed $1.28 to $70.68.

STRONG RESULTS: KB Home climbed 10.8 percent after the homebuilder's latest quarterly earnings beat Wall Street's expectations.

Earnings got a boost from higher home prices. The stock added $1.62 to $16.58.

A FOOTHOLD: Investors welcomed news that activist investor firm Jana partners has taken a 7.2 percent stake in ConAgra Foods.

Jana said ConAgra's results have been disappointing since it bought Ralcorp, the owner of Post cereals, in January 2013, and asked the packaged food company to extend the deadline for nominating board candidates.

ConAgra, the maker of Slim Jim meat snacks and Swiss Miss hot chocolate drinks, jumped $3.77, or 9.6 percent, to $42.89.

EUROPE: Markets were mixed in Europe. The European Central Bank agreed to provide temporary support for Greece's banks ahead of an emergency summit meeting next week. That meeting could determine Greece's future in the euro.

Greece's main stock index has slumped 11 percent this week.

ASIA'S DAY: In China, the main stock index plunged, raising concerns that a bubble in the market may have burst. The Shanghai Composite Index tumbled 6.4 percent and is 13 percent lower for the week. The index has more than doubled in the past year.

CURRENCIES: The dollar fell to 122.61 yen from 123.04 yen on Thursday. The euro fell against the dollar to $1.1357 from $1.1371.

ENERGY: Benchmark U.S. crude fell $1.01 to $59.46 a barrel on the New York Mercantile Exchange. It rose 53 cents to close at $60.45 a barrel in New York on Thursday.

METALS: In metals trading, the price of gold was little changed at $1,201 an ounce. Silver dropped 4.4 cents to $16.11 an ounce. Copper declined 3.7 cents to $2.57 a pound.

BONDS: U.S. government bond prices rose. The yield on the 10-year Treasury note, which falls when prices rise, dropped to 2.27 percent from 2.32 percent late Thursday.

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