Stocks end month lower as oil drops

U.S. stocks took small losses Wednesday as energy companies fell with the price of oil and chemical and materials companies traded lower. That pulled the market lower for August, ending a five-month winning streak for stocks. The losses were very small, though, as this proved to be one of stocks’ quietest months in recent history.

Stocks traded lower all day and fell for the fifth time in the last six days. The price of oil dropped.

The dollar gained some strength, which sent commodity prices lower, as expectations grew that the Federal Reserve could raise interest rates from their ultra-low levels as early as next month.

Energy prices slumped after the U.S. government said crude oil stockpiles increased by 2.3 million barrels last week, a bigger gain than analysts expected. Gasoline stockpiles shrank, but not as much as investors had hoped.

U.S. crude dropped 3.6% to $44.70 a barrel. Brent crude, the benchmark for international oil prices, fell 2.7% to $47.04. That helped send oil and gas companies lower.

H&R Block shares dropped 10.5% to $21.66 after the tax preparer posted a bigger first-quarter loss and less revenue than analysts expected. Its stock is down 35% this year.

Brown-Forman slumped 3.5% to $48.55 after the maker of Jack Daniel's whiskey posted sales that fell short of estimates.

Materials companies took some of the biggest losses. Chemicals maker DuPont slid 0.9% to $69.60. Agribusiness giant Monsanto fell 0.9% to $106.50 and building materials company Martin Marietta Materials sank 3.1% to $183.03.

California companies making big moves included AeroVironment, which fell 17% to $24.74 after the Monrovia maker of unmanned aircraft took a larger loss than expected and reported weak sales.

The Standard & Poor’s 500 index set records in August, but it ended the month down 0.1%. The index also traded in one of the narrowest ranges of any month in its history as investors tried to get a feel for the Federal Reserve's plans. The biggest losses went to phone and utilities companies, while concerns over drug pricing hurt healthcare stocks. Banks rose the most as investors gradually became more optimistic that interest rates will rise.

Bond prices slipped Wednesday, sending yields slightly higher. The yield on the 10-year Treasury note fell to 1.58% from 1.57%. The dollar rose to 103.44 yen from 102.97 yen. The euro rose to $1.1162 from $1.1139.

Gold fell $5.10 to $1,311.40 an ounce. Silver rose 3 cents to $18.71 an ounce. Copper remained at $2.08 a pound.