Wall Street mixed as Amazon, Facebook weigh
By Stephen Culp NEW YORK (Reuters) - U.S. stocks backed away from record highs on Monday as investors looked forward to an interest rate cut from the U.S. Federal Reserve and for signs of progress from Shanghai, where U.S.-China trade negotiations are underway.
By Stephen Culp
NEW YORK (Reuters) - U.S. stocks backed away from record highs on Monday as investors looked forward to an interest rate cut from the U.S. Federal Reserve and for signs of progress from Shanghai, where U.S.-China trade negotiations are underway.
Market participants girded themselves for an eventful week, with the FOMC meeting, ongoing U.S.-China trade talks and nearly a third of the companies in the S&P 500 reporting second-quarter results.
The Fed, watchful of languid inflation and signs of economic softness arising from tariff disputes, is expected to lower interest rates for the first time in a decade at the conclusion of its two-day monetary policy meeting, which convenes on Tuesday.
"The Fed announcement is going to be key, especially the Fed outlook," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.
The central bank is "beginning to accept the idea that the success of these (U.S.-China trade) negotiations will be modest at best and will cut rates in order to perpetuate the economic expansion," Ghriskey added.
U.S. negotiators are meeting their Chinese counterparts in Shanghai this week in an effort to find a path toward resolving the long-running, market-rattling trade war between the world's two largest economies.
The Dow Jones Industrial Average <.DJI> rose 46.69 points, or 0.17%, to 27,239.14, the S&P 500 <.SPX> lost 5.85 points, or 0.19%, to 3,020.01 and the Nasdaq Composite <.IXIC> dropped 47.21 points, or 0.57%, to 8,283.00.
Nine of the 11 major sectors in the S&P 500 were in the red, with consumer discretionary <.SPLRCD> and communications services <.SPLRCL> seeing largest percentage losses.
With second-quarter earnings season approaching the halfway mark, 76.1% of companies having reported have beaten consensus estimates, according to Refinitiv data.
"There have been a lot of positive surprises, so while we may end up with a negative quarter, overall it won't be as bad as feared," Ghriskey said.
Pfizer shares slipped 2.1% after the company lowered its full-year profit and revenue forecasts in an earlier-than-expected release of its quarterly results timed to go with the deal announcement.
Ride-hailing company Lyft Inc
Declining issues outnumbered advancing ones on the NYSE by a 1.11-to-1 ratio; on Nasdaq, a 1.56-to-1 ratio favored decliners.
The S&P 500 posted 35 new 52-week highs and 3 new lows; the Nasdaq Composite recorded 59 new highs and 94 new lows.
(Reporting by Stephen Culp; Editing by Bill Berkrot)
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By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States
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