A warning from Motorolaand stronger than expected employment and wage growth had stocks on the defensive Friday.
Motorola shares tumbled nearly 8% after the company said its earnings and sales will come in well below Wall Street estimates. The news also hit shares of rival Nokia, along with suppliers like RF Microand Silicon Labs.
The broader market got hit on much stronger than expected job and wage growth, which raised fears that the Federal Reserve could resume its rate-hike campaign. At a minimum, the report put hopes for a rate cut on hold.
Network Equipment, Xyratexand Sabagained on their earnings news.
RightNow, Openwave, Micreland Global Paymentsfell on their numbers.
Nvidiashed 6% on a downgrade.
The Nasdaq fell 19 to 2434, the S&P 500 lost 8 to 1409, and the Dow tumbled 82 to 12,398. Volume rose to 2.99 billion shares on the NYSE, and declined to 2.14 billion on the Nasdaq. Decliners led 24-8 on the NYSE, and 22-8 on the Nasdaq. Downside volume was 75% on the NYSE, and 69% on the Nasdaq. New highs-new lows were 103-35 on the NYSE, and 68-53 on the Nasdaq.