Market Wrap-Up

For the last few weeks the dismal prospects of the housing industry had been overshadowed by the even worse predicament playing out in financials. Thursday, though, traders were reminded that housing is still a bad bet. According to the National Association of Realtors existing home sales fell 2.6% in June that was a bigger than expected dip and home values sank 6.1% from a year ago. Home builders of every variety fell during the session. An uptick in jobless claims for the week didn't give investors confidence, either.

A rally in financials that started when Wells Fargo announced surprising quarterly results last Wednesday ended with renewed pressure on Washington Mutual. The bank denied a credit analyst's claim that its creditors were cutting exposure in the wake of the $3.3 billion quarterly loss reported this week. WaMu's stock lost 13%, weighing on others in the banking industry.

Having shed 5% this week, oil recorded a small gain. September crude futures rose $1.05 to $125.49 per barrel.

But it was the housing woes that ultimately dictated the stock market's direction. The Dow Jones Industrial Average lost 283 points to 11,349.

Winners

Amazon.com

Internet HOLDRs

Losers

The unexpected downturn in existing home sales caused traders to sell housing stocks. The ETFs that follow this industry had been quietly making a comeback of sorts. But Thursday the

SPDR S&P Homebuilders ETF

Toll Brothers

Pulte Homes

Home Depot

iShares Dow Jones U.S. Home Construction fund

Washington Mutual helped drag down some financial services ETFs. The SPDR KBW Bank ETF, which counts WaMu among its holdings, dropped 7.8%.

Thursday's Industry Headlines

Launching Pad

Van Eck announced the launch of

Market Vectors Gulf States ETF

Friday's Notebook

Earnings

Arch Coal, Black & Decker, Coventry Health, Fortune Brands, Honda, ITT, Legg Mason, Republic Services, T. Rowe Price

Economic Data
Durable Goods (8:30 a.m.), New Home Sales (10 a.m.)

Quick Take

A look at how the industry's most popular ETFs did on Thursday.