Media, retail losses a drag on stocks
NEW YORK — U.S. stock indexes retreated from their record highs Thursday as retailers and media companies declined and investors shrugged at quarterly reports from a few big banks.
Clothing companies and other retailers fell after women’s clothing company J. Jill slashed its third-quarter forecast. The firm’s stock lost more than half its value.
AT&T had its worst oneday loss since 2008 after it said it lost more satellite and cable TV subscribers in the third quarter. Other cable and satellite TV firms also stumbled. Industrial companies and household goods makers finished higher.
JPMorgan Chase and Citigroup both did better than analysts expected in the third quarter, but their $1.39, or 1.1 percent, to $129.99 and railroad operator Norfolk Southern rose $2.20, or 1.7 percent, to $133.69.
Citigroup said its investment banking business did well in the latest quarter, while JPMorgan Chase said its consumer banking business improved compared to a year ago. But Citigroup fell $2.57, or 3.4 percent, to $72.37 and JPMorgan gave up 85 cents to $95.99.
Ms. Bell, of CFRA Research, noted that banks have jumped and regional bank stocks have done especially well over the past month, but the third quarter is a tricky one for many banks because stock and bond market trading is fairly quiet.
J. Jill stock nosedived after the retailer of women’s clothes, shoes and accessories slashed its outlook for the third quarter. The company said retail and directto-consumer sales both fell short of its expectations and cut its earnings forecast in half. J. Jill stock opened at $13 a share after its March IPO and on Thursday it plunged $5.07, or 51.1 percent, to $4.86.
Retailer Express sank 53 cents, or 8.3 percent, to $5.88 and Chico’s FAS lost 57 cents, or 7.2 percent, to $7.40. Gap lost $1.21, or 4.3 percent, to $27.21.