Stocks Trip Over Tumbling Treasuries

Ford(F Quote) reported its worst quarter ever and a massive $12.7 billion loss for 2006 Thursday. The bad news must have been priced in, as Ford's shares rose 0.25%.

Homebuilder Beazer(BZH Quote) reported dismal earnings and a bleak outlook for the future Thursday, which propelled the homebuilders well into the red Thursday. Beazer fell 5.6%, while Toll Brothers(TOL Quote), Ryland(RYL Quote), Pulte Homes(PHM Quote) and Centex(CTX Quote) each slid 3% or more on the day.

"At this point, we have yet to see any meaningful evidence of a sustainable recovery in the housing market, although we would expect to gain a better read on the market as the traditional spring selling season gets underway," said Beazer CEO Ian McCarthy, in a statement.

Qualcomm(QCOM Quote) fell 1.2% despite beating earnings estimates. Lockheed Martin(LMT Quote) gained only 0.3% on a strong quarter and declaration of a dividend.

One of the day's few bright spots was eBay's(EBAY Quote) move following a stellar earnings report Wednesday. eBay gained 8.2% Thursday. Also, Nokia(NOK Quote) jumped 4.5% on its earnings report, which helped push 2006 cell-phone shipments over the 1 billion mark, according to reports.

Amgen(AMGN Quote) and Microsoft(MSFT Quote) reported earnings after the closing bell. Amgen disappointed investors, sending its shares down 1.8% in recent after-hours trading.

Microsoft beat earnings and revenue estimates and blamed late delivery of its new operating system Vista for its profit drop. After falling 2.1% during Thursday's session, Microsoft's shares were up 3.4% in after-hours trading.

If you still don't trust bond traders, another measure reflected the burgeoning anxiety in the markets Thursday. The VIX or volatility index, the so-called fear index, peeked out from the sand. After reaching lows under 10 last November, the VIX surged 13.5% Thursday to 11.22.