Advertisement
News
Advertisement

Sector Snap: Industrials hit hard in sell-off(2)

Fri, 06/04/2010 - 12:11pm

Industrial stocks were among those hit hardest in turbulent trading Friday as investors sold off after the Labor Department said hiring remains weak.

The jobs report was the latest in a number of reports this week showing the economy growing slowly.

The Dow Jones industrial average slid about 348 points, falling below 10,000. All the major indexes were down more than 2 percent.

Industrial companies losing the most ground included major manufacturers like aircraft maker Boeing Co. and 3M, which makes thousands of everyday products from Post-Its to stethoscopes. Both stocks lost more than 7 percent in afternoon trading.

Industrial companies include a wide range of manufacturers and companies that move those goods such as railroads and package delivery companies. They are at the heart of the U.S. economy because they produce and move so many goods that consumers use everyday.

Investors might be choosing to step back after a solid run for the sector. The stocks have collectively gained about 6.5 percent so far this year, spurred by some positive economic momentum. But any pullback or slowdown of an expected recovery would likely hit industrial companies hardest.

In afternoon trading, shares of UPS lost about 4 percent to hit $60.46, while smaller rival FedEx gave up 5.4 percent, or $4.52, to reach $79.46. Union Pacific Corp., the nation's largest railroad, fell $3.57, or 4.9 percent, to $69.64.

Advertisement

Share this Story

X
You may login with either your assigned username or your e-mail address.
The password field is case sensitive.
Loading