Tech shares pull back, but Dow hits another record

NEW YORK: Gains in petroleum-linked shares pushed the Dow to a fresh record, but the S&P 500 and Nasdaq fell on weakness in technology and defense stocks.

ExxonMobil gained 2.2 per cent and Chevron 1.1 per cent on higher oil prices, lifting the Dow to its sixth straight record.

But defense shares pulled back after President-elect Donald Trump’s blasted costs for Lockheed Martin’s F-35 stealth fighter.

Lockheed lost 2.5 per cent, and General Dynamics, Northrop Grumman and Raytheon all fell.

Amazon, Facebook and Expedia all lost one per cent or more on a weak day for technology shares. Apple shed 0.6 per cent.

The Dow Jones Industrial Average climbed 0.2 per cent to 19,796.43.

The broad-based S&P 500 shed 0.1 per cent to 2,256.96, while the tech-rich Nasdaq Composite Index tumbled 0.6 per cent to 5,412.54.

This week’s calendar includes a Federal Reserve meeting that is expected to conclude with an interest rate increase Wednesday, and a host of US data releases, including November retail sales.

Pharmaceutical shares were generally higher, with Pfizer up 2.2, Mylan 1.7 per cent and Gilead Sciences 1.1 per cent.

But Alexion Pharmaceuticals sank 12.9 as it announced that chief executive David Hallal and chief financial officer Vikas Sinha had both left the company as it nears completion of an investigation of its sales practices related to the Soliris drug to treat a rare blood disease.

Viacom tumbled 7.5 per cent and CBS dropped 0.6 per cent as National Amusements, which owns a majority of voting stock in both companies, said it asked the two companies to abort talks on a possible merger.

National Amusements said it concluded it was not the right time to combine the companies. — AFP