Dow Jones Drops 100 Points in Early-Afternoon Trading

Stock Market CrashThe Dow Jones Industrial Average (DJI) is down 115 points (.71%) on the day in early-afternoon trading. Marking the first day of trading in the fourth-quarter, stocks traded lower due to sluggish economic reports.

Biotech stocks are down, and tech giant Apple (APPL) is down 2.18% on the day.

Goldman Sachs (GS) is helping to offset the losses of Apple and IBM, up 0.5% on the day. The NASDAQ composite fell 1% in early morning trading,and the S&P 500 is down 0.38% on the day. Slight gains in the futures market helped all three indexes from falling further.

The ISM manufacturing index fell again in September to 50.2, the lowest level since May of 2013. Strategists suggest that the ISM’s decline in September is normal due to summer periods being rough for many companies. Low energy prices have also harmed manufacturing while benefiting consumers.

ISM data indicates that the sector is going into contraction. Analysts believe that the markets will remain flat or volatile ahead of job reports. Nonfarm payrolls reports will be a major factor in stock market conditions on Friday as reports will be released at 8:30 am.

Reports released on Thursday show auto and housing sectors strengthening. Construction spending is on the rise, reaching its highest level since 2008.

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Ben Myers

After graduating with a degree in Finance and Accounting, Ben has had a long and distinguished career in the world of global finance and investment. After working with multi-national institutions including HSBC and Bank of Ireland, Ben ran his own independent investment advice firm in the UK before chief analyst stints at a number of forex/binary options companies. Ben is currently CEO of www.mediamile.com and remains a keen trader and a featured contributor at investing.com and dailyforex.

About the Author

Ben Myers
After graduating with a degree in Finance and Accounting, Ben has had a long and distinguished career in the world of global finance and investment. After working with multi-national institutions including HSBC and Bank of Ireland, Ben ran his own independent investment advice firm in the UK before chief analyst stints at a number of forex/binary options companies. Ben is currently CEO of www.mediamile.com and remains a keen trader and a featured contributor at investing.com and dailyforex.