NEW YORK (CNNMoney)
The Dow Jones industrial average, the S&P 500 and the Nasdaq were all lower in early trading. The Dow and S&P 500 are coming off four straight days of losses.
The government revised its initial report on third-quarter economic growth to 3.6%, up from the previous estimate of 2.8%. The improvement was largely driven by inventory growth as companies restocked their shelves ahead of the holiday shopping season.
And the number of Americans filing first-time claims for unemployment benefits fell more than expected last week, the Labor Department said. Economists said the decline may have been distorted by the Thanksgiving holiday.
But the upbeat economic news failed to boost the market. Many investors believe that good economic news makes it more likely that the Federal Reserve will begin scaling back, or tapering, its monthly bond purchases.
The yield on the 10-year Treasury rose to 2.86% after the economic reports were released. Bond yields rise when prices fall. So bond investors are selling Treasuries in anticipation that the Fed may no longer buy as much going forward.
The Fed's $85-billion per month bond buying program has helped fuel the bull market since March 2009. But the central bank signaled earlier this year that it hopes to gradually reduce the purchases as the economy recovers. It has said that improvement in the job market could trigger this process.
The government's November jobs report is due Friday. Economists surveyed by CNNMoney expect that report to show 183,00 jobs were added last month.
Related: Where should you put your money now?
But not everyone is convinced the Fed will taper at its next policy meeting -- which wraps up on December 18. Alastair McCaig, market analyst for IG in London, said the holiday shopping season would be "a fragile time of year" for the Fed to pull back on its bond purchases.
"Trying to squeeze something in before the end of the year would start a little bit of panic, the tail end of December being just an incredibly important retail period," he said. "It would be a little bit dangerous to do something this year."
What's moving: On the corporate front, Jos. A Bank (JOSB) reported a decline in quarterly net sales and net income, compared with the prior year. The clothing retailer has been in a bizarre takeover battle with Men's Wearhouse (MW), which originally rebuffed a hostile bid from Jos. A Bank before turning the tables and offering to buy its smaller rival.
Apple (AAPL, Fortune 500) shares rose following a report that the company is nearing a deal with China Mobile (CHL) to sell Apple's iPhone. China Mobile is the world's largest mobile carrier.
Related: Fear & Greed Index still shows greed despite recent sell-off
European markets edged lower after the European Central Bank and the Bank of England both voted to hold interest rates steady. Asian markets ended mostly lower. 
First Published: December 5, 2013: 9:52 AM ET
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