Stocks take a breather after a strong run
NEW YORK — The Standard & Poor’s 500 index dipped Thursday to break a seven-day winning streak, its longest in 3½ years, though it remains a nudge away from its record high.
It was part of a pause for stock markets around the world, which have been on a torrid run thanks to an improving economy, stronger corporate earnings and hopes for more business-friendly policies from Washington. The dollar’s value also edged down against rival currencies, and Treasury yields fell as bond prices rose.
The S&P 500 fell 2.03 points, or 0.1 percent, to 2,347.22. The Dow Jones industrial average rose 7.91 points, less than 0.1 percent, to set another record at 20,619.77. The Nasdaq composite fell 4.54 points, or 0.1 percent, to 5,814.90. Four stocks fell for every three that rose on the New York Stock Exchange.
Analysts said it wasn’t surprising to see stocks take a break following their long run higher.
“The market has reacted quite strongly to the Trump reflation trade, deregulation and lower-tax comments over the last couple weeks,” said Nate Thooft, senior portfolio manager at Manulife Asset Management. “And on top of that, we’ve had a pretty darn good earnings season. It just needs a little bit of a breather today.”
The day’s largest loss within the S&P 500 came from TripAdvisor, which fell $5.78, or 11 percent, to $46.92 after reporting weaker revenue and earnings for its latest quarter than analysts forecast. Avon Products also slid after reporting weaker-thanexpected results.
Most companies, though, have been reporting stronger results for the last three months of 2016 than Wall Street forecast.
Medical-waste company Stericycle jumped to the biggest gain in the S&P 500 after its earnings and revenue for the latest quarter topped analysts’ estimates. The stock rose $5.96, or 7.7 percent, to $83.35.
Cisco Systems gained 78 cents, or 2.4 percent, to $33.60, and data-storage company NetApp climbed $1.63, or 4.2 percent, to $40.56.