Stock Market Prices Decline for Sixth Week

The Washington Times (Washington, DC), July 24, 2004 | Go to article overview

Stock Market Prices Decline for Sixth Week


Byline: Patrice Hill, THE WASHINGTON TIMES

Stocks plummeted yesterday, marking the sixth straight week of declines that have driven the Dow Jones Industrial Average below 10,000 and put other indexes in negative territory for the year.

A host of worries is weighing on the market, chief among them a climb in the price of oil to a near-record high, signs that earnings and economic growth are cooling, and the threat of terrorism in the Middle East and at home as the political conventions approach.

The Dow ended the day down 88 points at 9,962, capping its worst string of weekly losses since October 2002, while the technology-driven Nasdaq Composite Index fell 2 percent to 1,849 and set a new low for the year. The Standard & Poor's 500 Index also is down for the year.

Triggering yesterday's declines were reports of disappointing earnings at Microsoft Corp., a Dow component, and Amazon.com, and a shortfall in sales at Coca-Cola Co., all raising fears that the recent softness in consumer spending continues.

"There's a lot to worry about out there," said Michael Sheldon, chief market strategist at Spencer Clarke LLC. "It's going to take a while for these issues to be resolved, and I think we'll be stuck moving sideways to lower until then."

The market has piled up losses despite a spectacular 24 percent increase in earnings at S&P 500 companies in the second quarter, following a 27.5 percent jump in the first quarter, according to Thomson Financial, the securities research and publishing company.

However, the market is looking ahead to a widely predicted slowdown in earnings growth in the second half of the year. Analysts surveyed by Thomson say earnings will rise a more moderate 15 percent in the summer quarter.

"The current cycle is following a traditional pattern," said John Silvia, chief economist with Wachovia Securities. "Consumer spending slows, and the year-over-year profit growth slows. There is still growth, but the momentum" is down.

The slowdown is "normal" in a maturing business cycle as personal incomes and spending settle into growth at a measured but steady pace, he said. "The challenge is to recognize the slowdown while not becoming too pessimistic.

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Stock Market Prices Decline for Sixth Week
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.