* Durable goods data better than expected
* Amazon shares tumble after larger-than-expected loss
* Baidu jumps as net profit soars
* Indexes down: Dow 0.6 pct, S&P 0.3 pct, Nasdaq 0.4 pct
(Adds data, Starbucks, updates trading)
By Rodrigo Campos
NEW YORK, July 25 Disappointing earnings from
Amazon and Visa dragged U.S. stocks lower on Friday in a broad
selloff led by consumer discretionary shares.
Amazon tumbled 10.7 percent to $320.11 after reporting an
unexpectedly big loss for the second quarter, citing greater
expenses on investments. With more than 7 million shares traded
in the first 45 minutes of action, volume was already above the
average for the past 10 days.
"Earnings have been the driving force of this market all
week. We had a series of good reports but Amazon in particular
was a disappointment and has led to some profit taking," said
Rick Meckler, president of investment firm LibertyView Capital
Management in Jersey City, New Jersey.
Amazon dragged on the consumer discretionary sector
, which lost 0.9 percent.
Visa was the largest decliner on the Dow industrials
with a 4.5 percent drop to $212.63 after the world's largest
credit and debit card company cut its revenue forecast for the
The blue-chip index was down 100 points, and Visa - the
costliest stock in the price-weighted index - accounted for 66
percent of the drop.
The Dow Jones industrial average fell 104.58 points
or 0.61 percent, to 16,979.22, the S&P 500 lost 6.24
points or 0.31 percent, to 1,981.74 and the Nasdaq Composite
dropped 17.86 points or 0.4 percent, to 4,454.25.
Starbucks fell 1.9 percent to $78.94 even as
quarterly sales at established stores in its Americas region
grew a stronger-than-expected 6 percent.
Orders for long-lasting U.S. manufactured goods rose more
than expected in June, supporting expectations of a strong
economic rebound in the second quarter.
The S&P 500 closed Thursday at a record high and was within
0.5 percent of hitting 2,000.
Pandora Media dropped 13 percent to $24.91 after it
forecast adjusted profit below analysts' estimates for the
On the upside, Baidu shares surged 7.7 percent to
$220.00 after China's biggest Internet search company blew past
Wall Street's targets with a 34.1 percent jump in quarterly net
profit, helped by a surge in mobile revenue.
(Editing by Bernadette Baum)