This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Dow Falls Below 10,000

Stocks in this article: MSFTAMZNCITHON

Bull or Bear? Vote in Our Poll (Updated with commentary, stock prices.)

NEW YORK ( TheStreet) -- The Dow fell below 10,000, and the major averages retreated Friday, as better than expected data and earnings from Microsoft (MSFT) and Amazon (AMZN) did little for other stocks in a "sell the news" environment.

The Dow Jones Industrial Average fell 109.13 points, or 1.1%, to 9,972.18, while the S&P 500 gave up 13.31 points, or 1.2%, to 1079.60. The Nasdaq edged down 10.82 points, or 0.5%, to 2154.47.

That was just enough to erase gains for the week, as the Dow edged down 0.2%, the S&P 500 gave up 0.7%, and the Nasdsaq lost 0.1% for the five day session.

Microsoft and Amazon shares were higher by 5.4% and 26.8%, respectively, after topping estimates and after multiple upgrades to the latter -- but it had little effect on the broader markets.

"We're getting to the end of the biggest week of earnings so far this earnings season, and with the exception of a few stellar performers, people are selling the good news," says Michael James, managing director at Wedbush Morgan Securities. "The prevailing theme is that people were expecting good numbers this quarter, and as we've been getting them people are selling into the strength."

This has been particularly true for semiconductor stocks, he says, and at the same time, retailers aren't seeing any follow through from the Amazon surge.

Last, the dollar, which has had an inverse relationship with equities, was gaining ground against the pound, euro and yen.

"I think partially what you're seeing is a certain amount of nervousness," says Doug Roberts, chief investment strategist at ChannelCapitalResearch.com, adding that it's in part because the S&P is near a technical resistance level of 1,100.

"Earnings seem to be good, but people want to hesitate to see if there are any land mines out there," says Roberts. "We did have quite a large run without any correction, and you might see that things are settling and will not play out until we get more clarity."

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,399.67 +19.26 0.12%
S&P 500 1,904.01 +17.25 0.91%
NASDAQ 4,316.0740 +57.6360 1.35%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs