Energy producers slid 0.4%, the most among 10 main groups in the S&P 500. West Texas Intermediate fell as much as 1.3%. Stockpiles of gasoline and distillate fuels, including diesel and heating oil, jumped the most last week since Jan. 4, the Energy Information Administration reported on Dec. 11.
Anadarko tumbled 7.6% to $77.33. The company and its Kerr-McGee unit acted improperly in the 2005 spinoff of Tronox and may have to pay as much as $14 billion related to environmental cleanup and health claims, a judge ruled.
The Chicago Board Options Exchange Volatility Index, the gauge of S&P 500 options known as the VIX, slipped 0.8% to 15.41 after three days of gains.
The S&P 500 yesterday fell to its lowest level since Nov. 12 as a better-than-forecast retail-sales report fueled speculation that the Federal Reserve will decide to taper asset purchases as early as next week. Central-bank officials have watched Washington’s budget negotiations and scrutinized economic data to determine whether the recovery is sufficiently robust to slow their bond-buying program.
Some 34% of economists predict that policy makers will decide to reduce the $85 billion of monthly asset purchases at the Dec. 17-18 meeting, according to a Bloomberg poll on Dec. 6. That compared with the 17% that forecast tapering at next week’s meeting in a Nov. 8 poll.
The S&P 500 may climb 17% to 2,075 by the end of next year as profit growth accelerates and U.S. monetary remains supportive, Thomas Lee, JPMorgan Chase & Co.’s chief U.S. equity strategist, wrote in a research report today. Large technology companies provide the most attractive opportunity for outperformance, he said.
Adobe jumped 12% to $60.52. The company said yesterday that it signed up online customers at a faster-than- projected clip, adding to evidence the largest maker of graphic- design software is reducing its dependence on the slumping personal-computer market.
Texas Industries surged 13% to $65.99. The owners of the Dallas-based cement company are working with Citigroup Inc. to find a buyer, three people familiar with the matter said late yesterday. The business may attract Switzerland’s Holcim Ltd. and U.S. competitor Vulcan Materials Co., one of the people said.
Vulcan Materials, a maker of concrete and cement, climbed 3.3% to $56.22.
Electronic Arts Inc. increased 6.1% to $22.25. U.S. sales of video-game hardware jumped 58% in November from the prior year, NPD Group Ltd. said yesterday. Piper Jaffray Cos. analyst Michael Olson said titles such as Battlefield and Call of Duty have sold “reasonably well.”
Copyright 2014 Bloomberg. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.