U.S. Stocks Drop to One-Month Low on Fed Bets After Data

U.S. stocks fell a third day, sending the Standard & Poor’s 500 Index to a one-month low, as improving economic data spurred speculation the Federal Reserve will cut stimulus as early as next week.

Oracle Corp. dropped 2.8 percent after RBC Capital Markets LLC lowered its rating on the stock. Lululemon Athletica Inc. plunged 12 percent after projecting fourth-quarter profit that trailed analysts’ estimates. Facebook Inc. rose 5 percent as S&P Dow Jones Indices said it will join the S&P 500 next week.