Major Averages Close Sharply Lower, Nasdaq Turns In Worst Performance In Years

(RTTNews) - After moving notably higher over the two previous sessions, stocks showed a substantial move back to the downside during trading on Thursday. Technology stocks helped to lead the sell-off, contributing to a particularly sharp drop by the tech-heavy Nasdaq.

While most of the major sectors came under pressure, biotechnology stocks posted particularly steep losses on the day. The NYSE Arca Biotechnology Index plummeted by 5.6 percent, offsetting yesterday's 3.8 percent gain and setting a new two-month closing low.

Pharmacyclics (PCYC) and Incyte (INCY) turned in two of the biotech sector's worst performances, tumbling by 9.6 percent and 9.4 percent, respectively.

Electronic storage stocks also showed a substantial move to the downside, dragging the NYSE Arca Disk Drive Index down by 3.8 percent. The index also set a two-month closing low amid steep losses by Hutchinson Technology (HTCH) and Imation (IMN).

Semiconductor, software, and networking stocks also saw significant weakness, contributing to the sharp drop by the tech-heavy Nasdaq.

Considerable weakness was also visible outside of the tech sector, however, with healthcare, brokerage, and airline stocks posting notable losses on the day.

The Nasdaq turned in its worst performance since November of 2011, plunging 129.73 points or 3.1 percent to a two-month closing low of 4,054.11. The Dow tumbled 266.96 points or 1.6 percent to 16,170.22 and the S&P 500 plummeted 39.10 points or 2.1 percent to 1,833.08.