Business briefing: Virus fears return and stock indexes lose ground

U.S. stocks spun lower in a dizzying day of trading Thursday as worries about the viral outbreak that started in China knocked the S&P 500 off its record high. The market had started the day off higher following another round of stronger-than-expected reports on the U.S. economy, but it slumped suddenly in the late morning. The S&P 500 was down as much as 1.3% at one point, Treasury yields fell and the price of gold rose, before the moves moderated in the afternoon. By the close of trading, the S&P 500 index had trimmed its loss to 0.4%, down 12.92 points to 3,373.23. The Dow Jones industrial average fell 128.05 points, or 0.4%, to 29,219.98, after earlier being down as many as 388 points. The Nasdaq composite lost 66.21, or 0.7%, to 9,750.96. Market watchers said they didn't see one clear trigger for the movements, which were reminiscent of the market's sudden shifts during the height of the U.S.-China trade war, when stocks would swing sharply following tweets from President Donald Trump.

U.S. mortgage rates rose slightly this week but they remain far below year-ago levels, which has provided a boost to home sales. Mortgage buyer Freddie Mac said Thursday that the average rate for a 30-year fixed-rate mortgage loan rose to 3.49% from 3.47% last week. That is down from 4.35% a year ago. The average rate on a 15-year fixed mortgage also increased slightly, to 2.99% from 2.97%. Fears about the economic impact of China's viral outbreak have caused investors to snap up U.S. Treasury securities, often seen as a safe haven in the event of an economic downturn. That has pushed the yield on the 10-year Treasury note sharply lower this year. Mortgage rates typically follow the yield on the 10-year note. The rate for a 5-year adjustable mortgage was 3.25% vs. 3.28% last week.

Hair Club for Men founder Sy Sperling, famous for the TV commercials where he proclaimed "I'm not only the Hair Club president but I'm also a client," died in Florida. He was 78. Sperling died Wednesday in Boca Raton after a lengthy illness, spokeswoman Terri Lynn said Thursday. Using a weaving technique he learned from his hair stylist, Sperling took $10,000 in credit card debt to open his own salon on Madison Avenue where he perfected a system where a nylon mesh cap was glued to the scalp. The client's remaining hair would grow through it and then hair purchased from women that matched the color was woven into the mesh. The clients would then come in several times a year for adjustments. He began advertising on television and in 1982, he went national with commercials running 400 times daily on late-night TV. They became so ubiquitous they were spoofed by Johnny Carson and on "Saturday Night Live." By 1991, Hair Club for Men had 40 franchises. Men paid between $2,000 and $3,500 for the system and then $65 for maintenance appointments. Revenue reached $100 million annually.

Guyana's government on Thursday prepared to sell its first barrels of oil after the discovery of large quantities of oil and gas near the South American country's coast nearly five years ago. The Department of Energy called the shipment a historic event, saying Guyana expects to receive four more shipments this year as part of a deal with ExxonMobil Corp and partners including Hess Corp. The boat set sail from Guyana overnight and is bound for Barbados, where it will be sold to markets including the U.S. Energy Department Director Mark Bynoe said he expected Guyana to directly earn $300 million from its share of oil sales this year, with Guyana receiving 52% of profits as part of a 2016 deal.