Stocks re­bound af­ter early slide

The Nas­daq snaps an eight-day slump as tech­nol­ogy firms help lift the mar­ket to a mod­est gain.

The Denver Post - - BUSINESS - By Alex Veiga

A volatile day on Wall Street ended in up­beat fash­ion Tues­day as a late-af­ter­noon rally led by tech­nol­ogy stocks pushed the mar­ket to a mod­est gain.

The turn­around helped snap an eight-day trad­ing slump for the Nas­daq com­pos­ite, which is heav­ily weighted with tech­nol­ogy stocks.

En­ergy stocks slumped as much as 2 per­cent dur­ing the day, then re­cov­ered in late trad­ing to eke out a slight gain.

Crude oil prices de­clined for the sev­enth

STOCK WATCH: United Con­ti­nen­tal day in a row, the long­est los­ing streak since July 2014. Oil has now fallen nearly 18 per­cent this year.

“We saw a lit­tle bit of weak­ness in oil, and the sell­ing just con­tin­ued,” said J.J. Ki­na­han, chief strate­gist at TD Amer­i­trade.

All told, the Dow Jones in­dus­trial av­er­age gained 117.65 points, or 0.72 per­cent, to 16,516.22. The Stan­dard & Poor’s 500 in­dex added 15.01 points, or 0.8 per­cent, to 1,938.68. The Nas­daq com­pos­ite climbed 47.93 points, or 1 per­cent, to 4,685.92.

In­vestors have been wrestling with fears about a pro­tracted slow­down in China’s econ­omy and the po­ten­tial fall­out for cor­po­rate earn­ings. Un­cer­tainty about Bei­jing’s abil­ity to man­age its fi­nan­cial mar­kets has also kept traders on edge af­ter sharp losses last week.

The steep down­turn in crude oil prices has also weighed on the mar­ket. The three ma­jor U.S. stock in­dexes are all down for the year, with the Dow and S&P 500 in­dex off about 5 per­cent, while the Nas­daq is down 6 per­cent.

Trad­ing looked to take a more pos­i­tive turn early Tues­day as the ma­jor U.S. stock in­dexes opened higher and oil prices rose. That trend didn’t last, as oil prices turned lower once more, weigh­ing on en­ergy stocks. The mar­ket looked like it was headed for a lower close be­fore it re­versed course in the fi­nal hour of trad­ing.

Eight of the 10 sec­tors in the S&P 500 in­dex rose. Tech­nol­ogy com­pa­nies gained 1.2 per­cent. Health care and con­sumer dis­cre­tionary stocks also notched gains of 1 per­cent. Util­i­ties and telecom­mu­ni­ca­tions ser­vices stocks fell.

Chip­maker In­tel added 62 cents, or 2 per­cent, to $32.68, while Ap­ple gained $1.43, or 1.5 per­cent, to $99.96. Among health care com­pa­nies, Unit­edHealth Group climbed 2.4 per­cent, the big­gest gainer in the Dow Jones in­dus­trial av­er­age. It added $2.68 to $112.26.

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