US stocks fell overnight ahead of the release of the July jobs report with investors bailing out of tech, financial and commodity shares in a step back from the big rally of the past month.
The Dow Jones industrial average lost 25 points to 9,256. The S&P500 Index fell 6 to 997 and the NASDAQ lost 20 points to 1,973.
In economic news: The US Labor Department reported new claims for unemployment fell to 550,000 last week from 588,000 the week before.
In company news: American International Group (NYSE:AIG) shares added 2.41% to $22.53 investors piled in ahead of its quarterly results, due out on Friday. AIG, which is 80% owned by the US government, has nearly doubled its value this week, despite its large debt levels.
Procter and Gamble (NYSE:PG) shares fell 4.54% to $51.46 as investors worried about the company’s sales outlook and shifts in its pricing strategy. The day before P&G reported weaker quarterly results and warned of lower profit in the current quarter.
MetroPCS (NYSE:PCS) shares plunged 29.16% to close at $8.99. The low-cost wireless carrier posted disappointing second-quarter earnings which fell by 48%.
Macy’s (NYSE:M) shares gained 5.56% to $15.01 as retail stocks were helped by a generally upbeat guidance from major chains for August, which will include the key back to school shopping season.
Checking the NASDAQ Top 100: The standout performer overnight was Activision Blizzard with a 10.65% gain to $12.78. While Urban Outfitters and Staples also climbed higher. The worst performing stock was Garmin which fell 6% to 31.64, while Vertex Pharmaceuticals and First Solar also lost ground.
