March 27th 2014 – Stocks Dragged Down By The Banks

U.S. stocks slid on Thursday after mixed economic reports cast a favourable light on the labour market while also illustrating the economy expanded less than economists expected at the end of last year.

The Commerce Department reported gross domestic product grew 2.6 percent in the final three months of last year, better than the 2.4 percent rate projected in February, but just below the 2.7 percent estimated by economists.

Separately, numbers from the Labour Department had jobless claims falling by 10,000 to 3111,000, a level that has it at a near four-month low.

And, the National Association of Realtors reported pending home sales fell for an eighth month in February, with sales down 10.5 percent from a year ago.

Friday:  8:30 a.m.: Personal income and consumer spending for February, 9:55 a.m.: University of Michigan/Reuters consumer sentiment for March, 1:15 p.m.: Fed’s George speaks

News Sources:  CNBC and CNN Money

My Market View:

S&P formed quite the wedge today into the close, so it is likely that we will see a relief rally in small caps and the Nasdaq tomorrow.  It has been a dismal time for stocks on the Nasdaq over the least 5 trading days.  A bounce is overdue now.