US open: Dow tumbles 140 points as jobless claims miss estimates

US stocks slid early on Thursday, as investors analysed a report on jobless claims ahead of appearances by a number of Federal Reserve speakers.

Shortly before 1500 GMT, the Dow Jones Industrial Average was down 139 points to 17,563.99 while the S&P 500 and the Nasdaq were 14 and 23 points lower respectively.

Unemployment claims miss expectations

Initial unemployment claims were unchanged at 276,000 for the week ending on 7 November, according to the Department of Labor, compared with analysts' expectations for a reading of 270,000.

"Claims are running about 7% below last year's level, and no-one was complaining that layoffs were too high in the fall of 2014," said Ian Shepherdson chief economist at Pantheon Macroeconomics.

"With indicators of hiring still extremely strong, outside the small manufacturing sector, claims are consistent with 250,000-plus payrolls."

Still to come on the economic calendar, a reading on September job openings at 1500 GMT, while the Federal monthly budget is on tap at 1900 GMT.

Investors will also hear from a number of Fed officials, with Richmond Fed president Jeffrey Lacker appearing on a panel at the same conference at 1445 GMT, while Fed Chairwoman Janet Yellen is scheduled to deliver ‘welcoming remarks’ at a monetary policy in the US capital at 1430 GMT.

“Following last week’s knock-out non-farm report the chances of a December rate-hike appeared to sharply increase, so investors will be desperate for any insight into the central bank’s current mind-set from the often elusive Fed chair,” said Spreadex’s financial analyst Connor Campbell.

Fed Vice Chairman Stanley Fischer will make an appearance at the same event at 2300 GMT, while Chicago Fed president Charles Evans will give a speech on the economy and monetary policy at the National Communities Council Fall Leadership Forum in Chicago at 1515 GMT.

Finally, New York Fed president William Dudley will speak to the Economic Club of New York at 1700 GMT.

In company news, Macy's declined 0.87% after analysts at Credit Suisse cut their target price on the stock from $47 to $38, while department store Kohl surged 7.32% after its sales and profit beat estimates.

Restaurant chain El Pollo Loco Holdings and fashion retailer Nordstrom will report after the market close.

Elsewhere, Asian equity markets endured a mixed day, as a batch of mixed economic data from China weighed on sentiment yet again, while European stocks posted losses across the board after dovish comments from European Central Bank president Mario Draghi.

The dollar gained 0.15% against the euro and rose 0.14% and 0.12% against the pound and the yen respectively, while gold spot fell 0.89% to $1,076.59.

Oil prices declined, as West Texas Intermediate lost 2.51% to $41.88 a barrel, while Brent shed 2.39% to $44.74 a barrel.