U.S. stocks extended loss on Friday as rumors said that Standard & Poor's, the rating agency, will downgrade France and Austria's rating to AA+, Xinhua reported.
The rumor has not been confirmed by both S&P and European officials, but investors were deeply concerned about the current situations and hesitated to call the market. On earnings front, JPMorgan Chase & Co's fourth-quarter earnings fell 23 percent, in line with previous expectations. The decline was due to depressed trading and corporate deal- making on European debt crisis. Meanwhile, the Commerce Department said Friday that the U.S. November trade deficit increased 10.4 percent to 47.8 billion dollars, the highest level since June. The Dow Jones industrial average lost 103.12 points, or 0.83 percent, to 12,367.90. The Standard & Poor's 500 was down 11.76 points, or 0.91 percent, to 1,283.75. The Nasdaq Composite Index dropped 21.36 points, or 0.78 percent, to 2,703.37.