New jobless claims rose last week to their highest level since 1982 while the U.S. trade deficit unexpectedly rose in October due to falling U.S. imports. The Dow lost 72 points to 8695 while Nasdaq gave up 12 points to 1552.
On the upside
Eli Lilly (NYSE: LLY) expected to take a loss absorbing Imclone Systems while reaffirming its outlook for drug sales in 2009.The CEO Visa (NYSE: V) offered earnings guidance believing that growth outside the U.S. will offset a weak domestic economy.
Shares of American Italian Pasta (Nasdaq: AIPC) surged after the nation's largest pasta maker posted higher 4th quarter revenues and profits that nearly tripled.
On the downside
Shares of General Motors (NYSE: GM) and Ford (NYSE: F) fell after a House-passed bill to lend $14 billion to automakers faced growing opposition from Republican senators.
Apparel maker Gildan Activewear (NYSE: GIL) curtailed its earnings outlook due to the higher cost of cotton.
In the broad market, declining issues outpaced advancers by a margin of more than 5 to 4 on both the NYSE and on Nasdaq. The Russell 2000 which tracks small cap stocks dropped 4 points to 472.
