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U.S. stocks dip as energy firms, banks sink

First Published      Last Updated Apr 21 2017 02:26 pm

New York • The stock market was closing slightly lower led by declines in phone companies, banks and health care providers.

Verizon slumped 2.3 percent Friday, while Bank of America lost 1.6 percent.

In earnings news, Mattel nosedived 13.6 percent after the struggling toy maker reported a big drop in sales.

As of 2 p.m. Mountain time, the Standard & Poor's 500 index hads fallen 7 points, or 0.3 percent, to 2,348.

The Dow Jones industrial average slipped 30 points, or 0.2 percent, to 20,547. The Nasdaq composite gave up 6 points, or 0.1 percent, to close at 5,910.

Bond prices didn't move much. The yield on the 10-year Treasury note held steady at 2.24 percent.

Stocks rallied Thursday, but they've wandered up and down over the last few weeks. That may continue for a while. Next Friday the government will release its report on first-quarter GDP growth, a critical look at the economy that investors pay a lot of attention to. On the same day, the federal government is scheduled to reach its borrowing limit, which could trigger a government shutdown unless Congress agrees to extend it.

ENERGY: Schlumberger, the world's biggest oilfield services company, fell after it reported less revenue than analysts had forecast. The company said revenue in China, Russia and the North Sea fell more than it had expected. The stock gave up $2.36, or 3.1 percent, to $74.15 and competitor Halliburton shed 84 cents, or 1.8 percent, to $46.85 as energy companies lost ground.

Meanwhile benchmark U.S. crude shed $1.08, or 2.1 percent, to $49.63 a barrel in New York. Brent crude, used to price international oils, fell $1.01, or 1.9 percent, to $51.98 a barrel in London.

BARBIE BUMMER: Mattel, the largest toy company in the U.S., said its sales dropped 15 percent in the fiscal first quarter as it dealt with holiday hangover of too many items unsold. The company's revenue totaled $735.6 million, which was $67 million less than expected, according to FactSet. The stock lost $2.78, or 11 percent, to $22.43.

HUMMING ALONG: Industrial conglomerate Honeywell's profit and sales were better than expected, and the company raised its profit projection for the year. The stock jumped $3.38, or 2.7 percent, to $127.15. Aviation electronics company Rockwell Collins raised its profit and sales forecasts after its $8.6 billion purchase of former competitor B/E Aerospace. The new estimates are greater than what analysts expected and its stock rose $3.43, or 3.4 percent, to $103.02.

VISA PAYS UP: Payment processing giant Visa said its profit dropped 75 percent in the fiscal second quarter, largely due to the costs of integrating its recently acquired Visa Europe into the larger company. Its results were stronger than expected, but Wall Street wasn't that impressed. The stock edged up 39 cents to $91.55.

ALOHA: Hawaiian Holdings, the corporate parent of Hawaiian Airlines, posted solid results in the first quarter and said it expects strong growth in an important revenue measurement over the next few months. The stock jumped $3.27, or 6.3 percent, to $55.18.

BONDS: Bond prices rose. The yield on the 10-year Treasury note slid to 2.22 percent from 2.24 percent. Bank of America fell 27 cents, or 1.1 percent, to $22.81 and Synchrony Financial lost 48 cents, or 1.4 percent, to $33.37, as lower bond yields mean banks can't charge as much for loans.

CURRENCY: The dollar dipped to 109.09 yen from 109.31 yen. The euro fell to $1.0700 from $1.0722.

OVERSEAS: France's CAC-40 retreated 0.2 percent after a big gain Thursday. Germany's DAX gained 0.2 percent and the British FTSE 100 was little changed. The Nikkei 225 in Tokyo gained just over 1 percent and the Kospi in South Korea added 0.7 percent. Hong Kong's Hang Seng shed 0.1 percent.