Issue link: https://www.epageflip.net/i/110766
8B Daily News ��� Thursday, February 21, 2013 Furniture Depot 235 So. Main St., Red Bluff 527-1657 MON.-FRI. 9:00-6:00 SAT. 9:00-5:00 ��� SUN. 11:00-5:00 Stocks drop following Fed doubts about stimulus NEW YORK (AP) ��� The stock market posted its biggest loss this year on news that Federal Reserve officials suggested the central bank scale back its effort to keep borrowing costs low. Minutes from the Fed���s January meeting seemed to catch investors by surprise when they were released at 2 p.m. EST. Several Fed policymakers worried that the bank���s program of buying $85 billion of bonds each month could eventually unsettle financial markets or cause the bank to take losses. Even so, most of the Fed officials thought the economy faced fewer risks than in December. Judging by the market���s reaction, the Fed appears to be closer to ending its Wall Street support for the economy than traders had expected, said Dan Greenhaus, chief global strategist at the brokerage BTIG. ������We���re at a point now where we���re discussing how we���re going to end this, not whether it���s going to end,������ he said. The S&P 500 index sank 18.99 points to 1,511.95, a loss off 1.2 percent. That���s the biggest one-day drop since Nov. 14, 2012. By buying bonds, the Fed drives up their prices and lowers interest rates, which have stayed at record lows. That keeps costs low for mortgages and other types of loans. The major indexes driftThe Over 25 years of experience STOVE JUNCTION BBQ PELLETS The North State���s premier supplier of stoves Now in Stock! Popular customer request Serving Butte, Glenn & Tehama Counties Tues-Sat 9am-5pm ��� Closed Sun & Mon 22825 Antelope Blvd., Red Bluff 530-528-2221 ��� Fax 530-528-2229 www.thestovejunction.com ed sideways in morning trading then turned lower in the early afternoon after Caterpillar reported weaker sales of its heavy trucks and mining equipment. Stocks fell further after traders had time to digest the Fed minutes. The S&P 500 lost 11 points in the last hour and a half of trading. The Dow Jones industrial average fell 108 points, or less than 1 percent, to close at 13,927. Merck helped curb the Dow���s fall, rising 1 percent, on news that it teamed up with a Korean drugmaker to create drugs. The Nasdaq composite fell 49 points, or 1.5 percent, to 3,164. News that Apple���s major supplier, Foxconn, stopped hiring at its largest plant in China helped push down Apple���s stock. Foxconn reportedly said the hiring freeze was not caused by slumping orders for iPhones. Apple fell $11.14 to $448.85. The stock market surged at the start of the year then drifted slightly higher in recent weeks with few major events to drive trading one way or another. That could change as soon as Congress returns from vacation next Monday. Deep federal Reuse Facility KWIK KUTS What?: REAP the benefits of Reuse at the Family Hair Salon REAP (Reuse of Available Products) Facility. 20 % off How much? All items are Free! What can I get? ��� Paints ��� Cleaning Supplies ��� Polishes ��� Stains ��� Automotive Fluids ��� and much more Where? At the Tehama County/Red Bluff Landfill: 19995 Plymire Rd., RB When? Monday-Friday 9am - 4pm. For more information, please contact: 528-1103 or visit www.tehamacountylandfill.com spending cuts are scheduled to start March 1 unless Congress and the White House find a way to avoid them. Both the Dow and the S&P 500 have gained 6 percent for the year. The Nasdaq is up 5 percent. Before the Fed minutes came out, Phil Orlando, the chief market strategist at Federated Investors, said he believed the stock market had climbed too quickly and was prone to a big drop. He expected the S&P 500 to get knocked down by 3 percent or more in the coming weeks. Another budget battle in Washington could be the trigger. ������There are a lot of us who say, ���We���re a little bit ahead of ourselves here,��������� Orlando said. ������I still expect an all-time high for the S&P 500 this year, but it���s going to get there in fits and starts.������ Even though housing construction slowed down in January, the Department of Commerce reported Wednesday that new housing starts remained strong. Builders started construction at an annual rate of 890,000 last month, down 8.5 percent from December. Applications for building permits increased. The Dow closed at its highest level of the year Tuesday, bringing it within one percent of 14,164, the record high reached more than five years ago. In the U.S. government bond market, the yield on the 10-year Treasury note slipped to 2.01 percent from 2.03 percent late Tuesday. The yield has climbed steadily higher since the start of the year, when it traded around 1.70 percent. Stromer Realty 590 Antelope Blvd Bldg. A, Suites 10 & 20, Red Bluff (530) 527-3100 http://redbluff.stromerrealty.com Antelope Professional Offices Asking $775,000 Two newer office buildings with four 832 sq. ft. suites each ��� a total of 6,656 sq. ft. All have bathroom facilities and are handicapped compliant. Attractively landscaped and well maintained, the facility is located on a highly visible traffic route. All are rented to professional tenants, with the exception of one unit which is currently used as a conference room for the complex���s tenants. All makes and models. We perform dealer recommened 30K, 60K, 90K ANY RETAIL PRODUCT with any chemical service of $50 or more 2 Regular $ Haircut 00 off SERVICES AT LOWER PRICES Smog Check $ starting at + 25958 $ 25 certificate Reg. $13.95 Not good with other offers Expires 1/31/13 With coupon (MOST CARS & PICK-UPS) 1064 South Main St., Red Bluff ��� 529-3540 527-9841 ��� 195 S. Main St.