FX.co ★ US stock market review for 30/06/2010

The US stock indices fell on Wednesday on the last session of Q2. Investors were disappointed with the US private sector employment report and Moody’s agency gave notice that it can lower the Spanish credit rating. Dow Jones Industrial Average dropped by 96.28 points, or by 0.98%, to 9774.02 points. In June, the index decreased by 3.58%, having demonstrated the decline in the second sequential month. According to the quarter results, DJIA edged down by 9.97% after a four-quarter rise. It has become the worst Q2 for Dow since 2002.
Nasdaq Composite index moved down by 25.94 points, or by 1.21%, having closed at 2109.24. it fell by 6.55% according to the month results and by 12.04% with accordance to Q2. It has become the worst reading since Q4 of 2008. Standard & Poor's 500 went down by 10.53 points, or by 1.01%, to 1030.71 points, having reached a new closing low in 2010. By the end of July S&P 500 fell by 5.39%. Alcoa showed the lowest readings in Q2, having lost 29%. On Wednesday, the aluminum giant also head the decline – its shares dropped by 28 cents, or by 2.7%, to $10.06. Walt Disney shares decreased by 80 cents, or by 2.5%, to $31.50, Hewlett-Packard securities tumbled by $1.02, or by 2.3%, to 43.28. 3M Company became the only one component of Dow, which managed to close Wednesday’s session in the positive territory, having been supported by more favorable than it was expected Chicago manufacturing report. 3M shares rose by 50 cents. Or by 0.6%, to $78.99.
All sectors closed the deals in the negative territory with the deepest drop of the technological sector. The consumer sector showed the worst readings in June.
According to the ADP’s report, the private sector employment increased by 13000 in June, while the forecasted growth was 60000. Moody's Investors Service statement about the possibility of lowering Spain’s credit rating from AAA because of unfavorable prospects of economizing, difficult tasks for fiscal policy and rising cost of financing also influenced on stock indices.