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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Stocks Dip After S&P 500 Touches Record

NEW YORK (TheStreet) -- U.S. benchmark stock indices fell Thursday despite a decline in U.S. jobless claims. Worries about Iraq were putting a damper on the upbeat sentiment brought about by the Federal Reserve's supportive interest rate guidance on Wednesday.

The Dow Jones Industrial Average fell 0.04% to 16,899.58, the S&P 500 dipped 0.04% to 1,956.24, and the Nasdaq fell 0.13% to 4,357.25. 

Peter Cardillo, chief market economist at Rockwell Global Capital, said his short-term intermediate objective on the S&P 500 remains at 1,965 even as fears over the situation in Iraq grow, given that the S&P 500 and the other leading indices have not departed far from their record highs in spite of that.

Remarks from the Federal Open Market Committee infused U.S. markets with renewed vigor on Wednesday. After spending much of the morning in the doldrums, the benchmark index S&P 500 booked a new record high, fueled by the Fed's assurances this recovery still has legs. Federal Reserve Chair Janet Yellen indicated the world's most powerful central bank will keep interest rates low for some time even as it pared its monthly bond buying program by $10 billion to $35 billion.

In Europe, stocks were staging a relief rally after the Fed's policy announcement.

The instability in Iraq, however, was offsetting some of the cheerfulness. The Wall Street Journal reportedthat the Obama administration is signaling that it wants a new government in Iraq without Prime Minister Nouri al-Maliki, convinced the Shiite leader is unable to reconcile with the nation's Sunni minority and stabilize a volatile political landscape.

Initial jobless claims for the week ended June 13, fell 6,000 to 312,000. The Philadelphia Fed's manufacturing index jumped to 17.8 in June from 15.4 in May. It's the highest reading of activity since last September.

Stocks to watch Thursday include BlackBerry (BBRY), American Apparel (APP), Oracle (ORCL), Facebook (FB), General Electric (GE), Amazon.com (AMZN) and Sony (SNE).

BlackBerry was surging 12.3% to $9.31 after reporting a narrower-than-expected first-quarter loss per share on an adjusted basis of 11 cents vs. the consensus loss per share estimate of 26 cents. The company also managed to book a small net profit of $23 million vs. a loss of $423 million in the year-earlier quarter. BlackBerry also announced on Wednesday that the Amazon Appstore will be available with the launch of the BlackBerry 10.3 operating system this fall.

Sony was rising 2.8% to $16.75 after shareholders voted to back CEO Kazuo Hirai and other top executives despite the company's continuing losses. The Associated Press reported that Harai promised that "the money-losing structure" will be fixed this fiscal year once and for all, and apologized for not having acted quickly enough to changes in the business.

The board of American Apparel voted to oust founder Dov Charney as chairman and notified him of its intent to remove him as president and CEO, following a contractually required 30-day period before he can be terminated. Oracle is forecast by Wall Street on Thursday to report fiscal fourth-quarter earnings of 95 cents a share on revenue of $11.48 billion. Facebook's Web site went down briefly on Thursday, affecting both desktop and mobile phone users. The stock fell 1.5% to $64.62.

General Electric will propose selling its rail signaling business to Alstom's transport arm and have Alstom remain a shareholder of its power grid business in an improved offer for the energy arm of Alstom, French daily Le Figaro reported. Shares of Amazon.com fell 1.5% to $329.23 after the company released the Fire phone, a new smartphone that will be closely tied to the products and services it sells via its new Firefly feature. It also has the ability to render images in 3-D.

-- By Andrea Tse in New York

June 19 Premarket Briefing: 10 Things You Should Know

European Stocks Stage a Relief Rally S&P 500 Lands New Record High as Fed Says Recovery Still Has Legs

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 17,082.76 +31.03 0.18%
S&P 500 1,977.75 +4.12 0.21%
NASDAQ 4,445.75 +21.0460 0.48%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

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