The 300 Club

U.S. stocks finished lower on Thursday as mixed economic data fuelled a sell-off in technology and small-cap shares that until recently had been strong performers.

Consumer spending in the U.S. rose 0.4% in March, up from a 0.2% rise in February but below the 0.5% rise expected by economists. Income was flat as interest and dividend payments split. The data showed consumers coming out of their cold-weather slumber, but still spending at a modest pace.

The Labour Department said the employment cost index rose 2.6% in the first quarter versus the year-ago quarter. That is the fastest growth since the fourth quarter of 2008. Rising costs are a sign employers are being forced to raise wages as the labour market tightens.

Initial unemployment claims fell to a 15-year low of 262,000 last week. The less volatile four-week moving average fell by 1,250 claims to 283,750 in the week.

At the close the Dow, S&P 500 and NASDAQ were off 1.1%, 1.0% and 1.6%, respectively.

For Australian ADRs listed on the NYSE, BHP Billiton slipped 59 cents (1.14%) to $51.29, ResMed fell 15 cents (0.23%) to $63.94, Telstra Corporation lost 64 cents (2.53%) to $24.62, Spark New Zealand added 23 cents (2.11%) to $11.14 and Westpac declined $1.37 (4.53%) to $28.86.

At 7:45 AM (AEST), the 10-year Treasury note yield was 2.03% and the 5-year yield was 1.43%.

Exxon Mobil (XOM) reported a 46% fall in first-quarter profit as low oil prices weighed on the firm. Earnings of $1.17 a share were well above the 83 cents a share expected by analysts. The firm's refining business, which benefits from lower oil prices and cost cutting, helped power the outperformance.

European markets closed higher after a choppy trading session.

The FTSE 100 and Germany's DAX were each up 0.2% and the French CAC 40 was up 0.1%.

Asian shares finished lower.

The Nikkei 225, Hang Seng and Shanghai Composite were off 2.7%, 0.9% and 0.8%, respectively. India's Sensex fell 0.8%.

Australian Market

Local Market Expected To Open Flat

Ahead of the local open, SPI futures were flat at 5,757.

Thursday 30 April - close. The Australian market recorded a third straight loss, as the major banks extended their recent falls amid ongoing uncertainty over a local interest rate cut. There were mixed results from the sectors; consumer staples gained most significantly while financials were the biggest laggard. The Australian dollar fell against most major currencies.

U.S. stocks finished lower on Thursday as mixed economic data fuelled a sell-off in technology and small-cap shares that until recently had been strong performers.

Consumer spending in the U.S. rose 0.4% in March, up from a 0.2% rise in February but below the 0.5% rise expected by economists. Income was flat as interest and dividend payments split. The data showed consumers coming out of their cold-weather slumber, but still spending at a modest pace.

The Labour Department said the employment cost index rose 2.6% in the first quarter versus the year-ago quarter. That is the fastest growth since the fourth quarter of 2008. Rising costs are a sign employers are being forced to raise wages as the labour market tightens.

Initial unemployment claims fell to a 15-year low of 262,000 last week. The less volatile four-week moving average fell by 1,250 claims to 283,750 in the week.

At the close the Dow, S&P 500 and NASDAQ were off 1.1%, 1.0% and 1.6%, respectively.

For Australian ADRs listed on the NYSE, BHP Billiton slipped 59 cents (1.14%) to $51.29, ResMed fell 15 cents (0.23%) to $63.94, Telstra Corporation lost 64 cents (2.53%) to $24.62, Spark New Zealand added 23 cents (2.11%) to $11.14 and Westpac declined $1.37 (4.53%) to $28.86.

At 7:45 AM (AEST), the 10-year Treasury note yield was 2.03% and the 5-year yield was 1.43%.

Exxon Mobil (XOM) reported a 46% fall in first-quarter profit as low oil prices weighed on the firm. Earnings of $1.17 a share were well above the 83 cents a share expected by analysts. The firm's refining business, which benefits from lower oil prices and cost cutting, helped power the outperformance.

European markets closed higher after a choppy trading session.

The FTSE 100 and Germany's DAX were each up 0.2% and the French CAC 40 was up 0.1%.

Asian shares finished lower.

The Nikkei 225, Hang Seng and Shanghai Composite were off 2.7%, 0.9% and 0.8%, respectively. India's Sensex fell 0.8%.

Australian Market

Local Market Expected To Open Flat

Ahead of the local open, SPI futures were flat at 5,757.