Wall Street edges lower, energy stocks fall
By Sinéad Carew NEW YORK (Reuters) - The S&P 500 slipped on Wednesday after ending the previous session with a record and the Nasdaq failed to hold all-time highs reached earlier in the day while investors waited for more earnings reports. Energy stocks were the biggest drag on the S&P as oil prices fell. While the tech-heavy Nasdaq had help from eBay Inc's upbeat earnings and a chipmaker rally, investors were digesting a mixed bag of reports.
By Sinéad Carew
NEW YORK (Reuters) - The S&P 500 slipped on Wednesday after ending the previous session with a record and the Nasdaq failed to hold all-time highs reached earlier in the day while investors waited for more earnings reports.
Energy stocks were the biggest drag on the S&P as oil prices fell. While the tech-heavy Nasdaq had help from eBay Inc's upbeat earnings and a chipmaker rally, investors were digesting a mixed bag of reports.
The S&P 500, closing roughly 0.5% below its intraday record high hit in late September, has rallied about 17% year-to-date. It has been supported by a dovish Federal Reserve, hopes of a U.S.-China trade deal and largely upbeat earnings.
But with big companies such as Microsoft Corp, Facebook Inc, reporting after the close on Wednesday and Amazon.com and Intel Corp reports on tap for Thursday afternoon many investors kept to the sidelines.
"While the expectations are for good reports from all four of them recent strength and relative valuations are keeping people on the edge of their seat," Michael James, managing director of equity trading at Wedbush Securities in Los Angeles.
"There was no needle moving news today for people to be making bigger bets on anything after the big move we had yesterday."
The Dow Jones Industrial Average fell 59.34 points, or 0.22%, to 26,597.05, the S&P 500 lost 6.43 points, or 0.22%, to 2,927.25 and the Nasdaq Composite dropped 18.81 points, or 0.23%, to 8,102.02.
Profits of S&P 500 companies are expected to decline 1.1% for the first quarter, still a large improvement from the 2.3% drop estimated at the start of April. And nearly 78% of the 129 companies that have reported so far have surpassed earnings estimates, according to Refinitiv data.
"The overall picture confirms the economy is on a steady footing. It's skewing to the positive side," said Laura Kane, head of Americas thematic investing at UBS Global Wealth Management.
"The market is taking a pause. We've a lot of earnings coming this week and next. There's nothing today that would change the overall economic outlook."
Only three of the S&P 500's 11 major industry sectors ended the day in positive territory and Real Estate led the gainers with a 0.8% rise. Energy was the biggest decliner with a 1.6% drop.
The technology sector lost its gains late in the session to close down 0.01 percent and the Philadelphia Semiconductor Index closed up 0.95% after hitting an all-time high during the session. Texas Instruments Inc rose 1.8% after its quarterly report.
Caterpillar Inc fell 3% as rising costs hit margins in its construction equipment business and the company reported tepid sales in the Asia Pacific region.
AT&T Inc was the biggest drag on the S&P 500, declining 4% after the second-largest U.S. wireless carrier reported quarterly revenue below Wall Street estimates.
EBay jumped 5.5% after the company raised its full-year sales and profit forecasts.
Anadarko Petroleum Corp jumped 11.6%, providing the biggest boost to the S&P 500, after Occidental Petroleum Corp sought to scuttle Chevron Corp's takeover of the company with a $57 billion bid.
Boeing Co closed up 0.38% even after scrapping its 2019 outlook and reporting quarterly revenue below estimates due to grounding of its 737 MAX jets. Its shares have lost about 11% since the deadly Ethiopian crash in early March.
Advancing issues outnumbered declining ones on the NYSE by a 1.01-to-1 ratio; on Nasdaq, a 1.09-to-1 ratio favoured decliners.
The S&P 500 posted 49 new 52-week highs and two new lows; the Nasdaq Composite recorded 96 new highs and 37 new lows.
On U.S. exchanges 6.57 billion shares changed hands compared with the 6.65 billion average for the last 20 sessions.
(Additional reporting by Sruthi Shankar and Amy Caren Daniel in Bengaluru; Editing by Chizu Nomiyama and Lisa Shumaker)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
(Reuters) - Budget airline easyJet on Wednesday reported a bigger loss for the first half as it took a 160-million-pound hit ($199 million) from failed fuel hedging as the COVID-19 pandemic brought global air travel to a virtual standstill. The London-listed company reported a pretax loss of 353 million pounds for the six months ended March 31 from a loss of 272 million pounds last year. Revenue rose 1.6%, though easyJet took a hit from strikes in France, and storms Ciara and Dennis.
FRANKFURT (Reuters) - Bayer AG on Wednesday said it agreed to settle U.S.
KHARTOUM (Reuters) - Sudan will create a trade financing fund with a portfolio of $2 billion to aid the import and export of key commodities such as wheat, the Finance Ministry said, as the supply of foreign currency in circulation dwindles. Sudan's economy is at risk of freefall, hammered by an inflation rate of more than 100% and frequent shortages of bread, fuel and medicine. The country's currency has also fallen to a record low of 150 Sudanese pounds to the dollar on the black market compared with 55 at the official rate