clear
Tuesday May 31st, 2016 8:15PM

Stocks lower after hitting record; banks in focus

By The Associated Press
NEW YORK (AP) -- Stocks fell modestly Tuesday as investors took a breather from a market that notched yet another record high the day before.

The market has hit several all-time highs in recent months, but with the holiday season and end of the year approaching many investors expect the market to be calm as 2013 winds down.

"It's quiet, and the only trading that will go on the rest of this year will be people selling for tax reasons and window dressing," said Jack Ablin, chief investment officer for BMO Private Bank, which manages $66 billion of assets.

It's a common practice for portfolio managers, in the last couple weeks of the year, to close out positions, sell off poor-performing stocks and try to make portfolios look as good as they possibly can when they mail their year-end statements to investors. On Wall Street, the practice is sometimes called "window dressing."

The Dow Jones industrial average fell 52.40 points, or 0.3 percent, to 15,973.13.

The Standard & Poor's 500 index lost 5.75 points, or 0.3 percent, to 1,802.62. The index hit an all-time high Monday.

The Nasdaq composite lost 8.26 points, or 0.2 percent, to 4,060.49.

Banking stocks were mostly higher after investors got some clarity on new regulations.

Federal regulators voted to approve the Volcker Rule, which bars banks from betting on the market with their own money. The Federal Deposit Insurance Corporation, the Securities and Exchange Commission and other federal agencies approved the rule, which will go into effect by July 2015 for the nation's largest banks.

Goldman Sachs increased $2.06, or 1.2 percent, to $169.73 and Morgan Stanley rose 38 cents, or 1.3 percent, to $30.77.

The Volcker rule is part of the Dodd-Frank financial reform law passed in 2010 in the aftermath of the financial crisis.

One of the few remaining events on the economic calendar this year is the Federal Reserve's two-day policy meeting next week. The Fed is widely expected to scale back its stimulus program in the coming months, but few investors expect it will do it next week so close to the end of the year.

Economists expect the Fed to start pulling back, or "tapering," its economic stimulus in the first three months of 2014.

"No matter how you look at it, tapering is on its way," said Quincy Krosby, market strategist with Prudential Financial.

Twitter jumped $2.85, or 6 percent, to $51.99 after the company announced a new service called "tailored audiences," a platform will let advertisers focus on a specific group of people and target ads to them.

In other corporate news, Lululemon Athletica's founder said he would relinquish the company's chairmanship after his comments about the body type of potential customers caused a backlash. The yoga apparel retailer fell $1.22, or 2 percent, to $69.12.

General Motors named Mary Barra as its next CEO. She will replace Dan Akerson and will be the first woman to run a major U.S. car company. GM slipped 50 cents, or 1.2 percent, to $40.40. The U.S. government also said Tuesday that it had sold the last of its stake in the automaker, which it acquired following GM's 2009 bankruptcy and restructuring.
© Copyright 2016 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
S&P 500 index has its best year since 1997
The stock market closed out a record year with more all-time highs on Tuesday, giving U.S. indexes their biggest annual gains in almost two decades.
6:56PM ( 2 years ago )
Colorado readies for 'Green Wednesday' pot sales
Police were adding extra patrols around pot shops in eight Colorado towns that plan to allow recreational sales to anyone over 21 on Jan. 1.
1:52PM ( 2 years ago )
Kerry seeks framework for Mideast peace talks
A senior State Department official says Secretary of State John Kerry will try this week to get Israel and the Palestinians to agree on a framework for negotiating a final peace agreement, yet cautions against raising expectations for Kerry's latest round of shuttle diplomacy.
1:35PM ( 2 years ago )
U.S. News
Missing Ga. bank director arrested in Brunswick
A bank director accused of losing millions of investors' dollars before vanishing last year was arrested Tuesday during a traffic stop in a city in south Georgia.
7:00PM ( 2 years ago )
Amtrak to suspend some Crescent service in Jan., Feb.
Amtrak service will shut down in parts of the Southeast for several days in January and February for rail maintenance by Norfolk Southern Railway.
9:00AM ( 2 years ago )
Lung cancer scans urged for some smokers, not all
Certain current or former heavy smokers should start getting yearly scans for lung cancer to cut their risk of death from the nation's top cancer killer, government advisers said Monday - even as they stressed that the tests aren't for everyone.
7:26AM ( 2 years ago )
Business News
Sex offender held in Hall County for failing to register
A 47-year-old man was booked into the Hall County Jail Tuesday, being held without bond for allegedly failing to register as a sex offender, his second such arrest.
6:09PM ( 2 years ago )
Pharmacy robberies may involve same suspect
Oakwood Police Tuesday afternoon released details in a pharmacy robbery they're investigating, similar to one that happened in the Hall County Tuesday morning.
5:46PM ( 2 years ago )
Victim critical following apartment fire
A 41-year-old woman was in critical but stable condition Tuesday after being rescued from an apartment fire in Forsyth County late Monday afternoon.
3:16PM ( 2 years ago )
Local/State News
Amid shouts of 'shame,' House GOP defeats gay rights measure
Democrats shouted "shame," but House Republicans switched their votes and defeated a measure to protect gay rights
8:03PM ( 1 week ago )
CDC director Freiden warns GOP Zika bill is inadequate
The head of the Centers for Disease Control and Prevention warned Wednesday that a House GOP measure to combat the Zika virus is inadequate to deal with the swelling threat to public health
7:36PM ( 1 week ago )
Trump unveils list of his top picks for Supreme Court
Donald Trump, the presumptive Republican nominee for president, released Wednesday a list of 11 potential Supreme Court justices he plans to vet to fill the seat of late Justice Antonin Scalia if he's elected to the White House.
3:31PM ( 1 week ago )
1st US penis transplant could bring hope to maimed soldiers
A 64-year-old cancer patient has received the nation's first penis transplant, a groundbreaking operation that may also help U.S. veterans maimed by roadside bombs
8:04PM ( 2 weeks ago )
States dig in against directive on transgender bathroom use
Politicians in Texas, Arkansas and elsewhere are vowing defiance over the Obama administration's new directive on transgender bathroom use
9:19PM ( 2 weeks ago )