Stocks edge lower after GDP growth disappoints

Published January 27, 2012 by
Business - Wall Street

NEW YORK (AP) ? Stocks were trading mostly lower after the government reported the U.S. economy grew at a slower pace than economists had expected in the fourth quarter.

The Dow Jones industrial average fell 83 points, or 0.7 percent, to 12,652 shortly before noon Friday. The S&P 500 index fell 5 points to 1,314. The Nasdaq edged up 4 to 2,809.

The government said the economy grew at a 2.8 percent annual rate in the final three months of last year. Economists had expected 3 percent growth.

Among stocks making big moves, Chevron Corp. fell 3 percent after the energy company’s fourth-quarter revenue and earnings per share came in well below what analysts were expecting.

Ford Motor Co. fell 3 percent after reporting disappointing fourth quarter earnings due to weak sales in Europe.

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