The stock market in the United States continued its losing streak for the third day as many investors seemed spooked by recent discussions that the Federal Reserve will soon start tapering its quantitative easing (QE) or bond buying program. The reaction of the markets demonstrates that investors do not seem ready to accept the reduction of bonds purchases next month.

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Today, Cleveland Federal Reserve president Sandra Pianalto said she is ready to reduce the monthly $85 billion bond-buying program of the Central Bank if the labor market continues to improve. She noted that current labor market conditions and outlook showed “meaningful improvement.” She emphasized that tapering the quantitative easing does not mean that she believed that the labor market has fully recovered.

In addition, Pianalto reiterated the policy of the Federal Reserve to maintain a low interest rate. She said, “We intend to hold short-term interest rates low to support economy growth until the economy is closer to full employment, so long as inflation stays well behaved.”

Market level

Dow Jones Industrial Average (DJIA) 15, 463 down by -55.4

S&P 500- 1,690 down by -6.71

NASDAQ- 3,654 down by -11.49

Russell 2000- 1044 down by -7.4

Stocks Activity

Amgen, Inc. (AMGN)

The stock price of Amgen, Inc. (NASDAQ:AMGN) gained by nearly 7% to around $112 per share on reports the biotechnology company is close to reaching an agreement to acquire Onyx Pharmaceuticals, Inc. (NASDAQ:ONXX). Reports indicated that the two companies are negotiating on the acquisition price at around $130 per share or $9.5 billion. Amgen’s original bid for Onyx was $120 per share.

Bank of America Corp (BAC)

Bank of America Corp (NYSE:BAC) has been negatively affected by recent civil lawsuits filed by the Department of Justice (DOJ) and Securities Exchange Commission (SEC) against it. The government agencies alleged that the bank committed fraud by misrepresenting the risks and failing to disclose proper information to investors related to the sale of residential mortgage backed securities (RMBS) in 2008. The stock value of the company fell by nearly 1% to $14.53%.

First Solar, Inc. (FSLR)

The stock value of First Solar, Inc. (NASDAQ:FSLR) dropped by more than 13% to $40.47 per share after the company’s earnings results missed the expectations of Wall Street analysts. The company lowered its full-year guidance, and indicated that it will keep some of its solar energy installation facilities projects longer before selling it. Goldman Sachs analyst, Brian Lee reduced its price target for the stock to $58 per share.

The Walt Disney Company (DIS)

The Walt Disney Company (NYSE:DIS)’s stock declined by nearly 2% to $65.93 per share following its disclosure that it will incur around $160 million to $190 million in losses from the movie The Lone Ranger.

Ralph Lauren Corp (RL)

Ralph Lauren Corp (NYSE:RL) declined by almost 9% after the company posted a 6% drop in fiscal first quarter earnings due to lower margins.