US shares open larger; Macy’s sinks on income miss

US stocks declined for a third straight session on Friday, putting the main benchmarks on track to record their first weekly loss in more than a month.

The S&P 500 retreated 76.16 points, or 3.6 per cent. Year-over-year, the PPI swung 1.6% lower – the ninth consecutive 12-month decrease, signaling lackluster inflation.

In overseas trading, stock markets across the Asia-Pacific region moved mostly lower following the overnight weakness on Wall Street. Weaker-than-expected data on retail sales and inflation added to cautious sentiment, according to analysts. J Kinahan, chief equity strategist at TD Ameritrade. The Dow Jones Industrial Average dropped 202.97 points, or 1.2%, to 17,245.10 and was 3.7% lower on the week. “In an environment of rising rates and stronger dollar, weak economic data results in a cautious sentiment among investors”, said Brian Fenske, head of sales trading at ITG.

Investors have their eye on a research conference sponsored by the Board of Governors of the Federal Reserve System to determine when interest rates might jump.

On Thursday, fresh remarks from several Fed officials further strengthened the case for a December rate lift-off.

ExxonMobil was down 1.0 percent and Chevron 0.8 percent. Ex-auto sales were expected to increase by 0.4 percent. By the bell, December-dated oil dropped $1.01, or 2.4%, to end at $40.74 per barrel. Retail sales rose 0.1% in October, below the consensus estimate of 0.3%.

Still to come, the University of MI preliminary reading on consumer confidence for November is scheduled at 1500 GMT, with a report for business inventories for September out at the same time.

St. Louis Fed president James Bullard said the Fed is quite close to normal with an unemployment rate of five percent and inflation only slightly below target. (JWN)cut its profit forecast (http://www.marketwatch.com/story/nordstrom-reports-drop-in-earnings-cuts-guidance-2015-11-12) as quarterly earnings dropped. The USA retailer also cut its outlook for the full year.

Mylan lost its $26 billion hostile bid for Perrigo after a seven-month pursuit.

Nordstrom (NYSE:JWN) was the disaster de jour, gapping down 15% in furious volume after reporting disappointing earnings and sales. Mylan shares rose 5.58, or 13%, to 48.78, while those of Perrigo lost 9.65, or 6.2%, to 146.90.

Shares of chain and department stores sank after the government’s October retail sales report showed a bare increase month-on-month and just a 1.7 percent gain from a year ago.

Other markets: Most Asian markets fell sharply, with Hong Kong’s Hang Seng Index down 2.2%. European stocks also struggled Friday, pulling the Stoxx Europe 600 lower by 1%. In other commodities, gold slipped 0.1% to $1080.50 an ounce.