Stock indexes on Wall Street started the day negative before turning flat after data showed consumer prices fell in November for the first time in six months, while technology shares fell.
The Standard & Poor’s 500-stock index lost 0.2 percent, the Dow Jones industrial average added 0.1 percent and the technology-heavy Nasdaq composite index lost 0.7 percent in early trading.
Economic data out of China showed that manufacturing in the world’s second-largest economy grew at its fastest pace in 14 months in December. That indicated China’s economy was on the mend, encouraging news for key trading partners such as the United States.
However, in Europe, the euro zone’s manufacturing and services sectors showed only small signs of improvement and remained in contraction territory.
President Obama and House of Representatives Speaker John Boehner held a “frank” meeting Thursday to try to break an impasse in negotiations over the “fiscal cliff,” tax increases and spending cuts set to begin in early in 2013.
Frustration has mounted over the lack of progress in the discussions, with traders’ worries reflected in a 0.6 percent drop in the S.&P. 500 on Thursday. Investors are concerned that without a deal, the economy could tip back into recession.
Shares of Adobe Systems were up 5.8 percent after the company said it expected profit and earnings to grow from 2013 on.
Sprint Nextel’s $2.1 billion offer to buy out Clearwire appeared to be running into trouble on Thursday, as some shareholders said they wanted more money, while Softbank set a cap on how much Sprint could pay. Clearwire shed 1.6 percent to $3.11 in light premarket trading.
Apple’s iPhone 5 was released in China on Friday but its longer-term hopes may depend on new technology being tested by China’s top telecommunications carrier. Shares of Apple were down 1.7 percent.
Wall Street Edgy in Early Going
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Wall Street Edgy in Early Going
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Wall Street Edgy in Early Going
