While you were sleeping: UPDATED Dow falls below 18,000

Stocks on Wall Street fell, dragged lower by disappointing earnings from companies including Travelers Cos and Verizon.

Late March hailstorms in Texas dented insurer Travelers' earnings.

"Our results from time to time will be impacted by higher levels of catastrophe losses, as they were this quarter," Alan Schnitzer, chief executive officer of Travelers, said in a statement.

Verizon Communications reported lower then expected revenue and sais earnings may plateau in 2016.

The Dow Jones Industrial Average slumped 113.75 points, or 0.6%, to slip back below the 18,000 mark at 17,982.52.

The Nasdaq Composite Index eased 0.05% lower to 4945.89 while the Standard & Poor's 500 Index slid 0.5% to 2091.48.

The Dow declined as slides in shares of Travelers and those of Verizon, down 6% and 3.3% respectively, outweighed gains in shares of IBM and those of American Express.

Mattel shares dropped 5.8% after the toy maker posted a larger-than-expected quarterly loss.

However, Under Armour shares jumped 6.95% after the maker of athletic apparel reported better-than-expected quarterly earnings and upgraded its full-year forecast.

Earnings beat expectations
As much as 77% of the S&P companies that have reported so far in the first quarter have beaten profit estimates, compared with the 63% that surpass expectations in a typical quarter, according to Reuters.

The latest data on the US jobs market offered more confirmation of its strength, as weekly jobless claims posted a surprise drop to the lowest level since 1973.

Initial claims for unemployment benefits fell by 6000 to 247,000 in the week ended April 16, data from the Labor Department showed.

"The labour market continues to improve," Jim O'Sullivan, chief US economist at High Frequency Economics in Valhalla, New York, told Reuters. "If the apparent slowing in GDP in the first quarter was truly a sudden change in trend, we should have seen something happen in claims by now."

ECB holds interest rates down
In Europe, the Stoxx 600 Index ended the session with a 0.3% decline from the previous close.

While equities moved lower, the euro strengthened after the European Central Bank's Governing Council kept its interest rates on hold at a policy meeting after cutting them to record lows in March.

"Following our comprehensive package of decisions taken in early March, broad financing conditions in the euro area have improved," ECB President Mario Draghi said at a press conference in Frankfurt.

"The pass-through of the monetary policy stimulus to firms and households, notably through the banking system, is strengthening."

"However, global uncertainties persist," Mr Draghi noted. "The risks to the euro area growth outlook still remain tilted to the downside."

France's CAC 40 Index fell 0.2% while the UK's FTSE 100 Index declined 0.5%, Germany's DAX Index rose 0.1%.

"The market hasn't yet accepted the frequently repeated word 'patience,'" Guillermo Hernandez Sampere, head of trading at MPPM EK in Eppstein, Germany, told Bloomberg. "The fact that previous measures haven't had the desired effect left little room for surprises. Only better GDP numbers would be able to support the measures."

Oil prices eased 2.3% to $US43.18 a barrel. Gold futures for June delivery settled about 0.3% lower at $US1250.30 an ounce

"The market is catching its breath after a strong rally," Gene McGillian, a senior analyst and broker at Tradition Energy in Stamford, Connecticut, told Bloomberg. "Production dropped to an 18-month low last week, which is pretty significant, but it comes while we have a huge oil oversupply in storage."

(BusinessDesk)