Technology and transportation shares dragged the S&P 500 lower Thursday. Amazon shares dropped in after-hours trading. Fred Katayama reports.
Strong quarterly earnings pushed Wall Street to new intraday highs Thursday morning but a downturn in tech stocks caused the S&P 500 and Nasdaq to shed all of their gains. A big rally by Verizon helped the Dow eke out a minor gain. David Miller of Catalyst Funds: SOUNDBITE: DAVID MILLER, CHIEF INVESTMENT OFFICER, CATALYST FUNDS, (ENGLISH) SAYING: "The big turn has definitely been on the tech sector. You can certainly see in the morning that big miss at Twitter where their user growth not only stopped growing but declined slightly so that's certianly a negative indication. The dollar rising a bit. And then, perhaps a little of it is perhaps with rates rising and the market kind of not having a reaction for the potential for that, maybe it's beginning to kick in a little bit." Amazon shares dropped in after hours trading. Quarterly profit plunged 77 percent at the online retailer. Investors giving a thumbs up to Facebook's earnings report, driving shares higher. The social networking company's mobile advertising business grew more than 50 percent in the latest quarter. Verizon shares helping pull up the Dow and S&P. The U.S.' largest wireless carrier added 614,000 postpaid subscribers. They're the most valuable customers because they pay a monthly bill. Twitter shares tumbled. The microblogging company disappointed Wall Street with stagnant monthly active user growth. Shares fell in Europe. Healthcare stocks dragged them down.