cloudyn.png
Thursday September 19th, 2019 2:41AM

Technology stocks drag the market lower in midday trading

By The Associated Press
Related Articles
  Contact Editor

NEW YORK (AP) — U.S. stocks moved broadly lower in midday trading Tuesday as investors again back away from technology companies.

The tech sector led the losses in the S&P 500 for a second straight day. Microsoft fell 1.2% and PayPal shed 2.5%. The shift contrasts with the last few weeks, when technology drove much of the market gains.

Health care stocks were also among the biggest losers. Merck shed 3.2% and Abbott fell 3.4%. Merck and other pharmaceutical companies have been updating investors with the latest data on developing lung cancer treatments at a medical conference in Spain over the last several days.

A mix of consumer product makers and consumer-focused stocks also fell. McDonalds shed 2.7% and Colgate-Palmolive fell 1.3%.

Rising bond yields pushed bank stocks higher in the early going, but the financial sector eventually followed the broader market lower. Bank of America held onto 1.7% gains, but it was outweighed by a 3.5% decline in CME Group and a 2.4% drop in American Express.

The yield on the 10-year Treasury rose to 1.69% from 1.62% late Monday.

Energy companies were among the few gainers. Chevron rose 2.5% and Exxon rose 1.3%.

The broader market has been gaining ground for two weeks as investors remain confident in the strength of the economy, despite the lingering trade war between the U.S. and China. The feud between the world's two largest economies has been injecting doses of volatility into the market as both sides escalate and then pull back. Recent plans for trade talks to resume in October raised some hope on Wall Street for a resolution.

Meanwhile, investors continue to watch the steady flow of economic data for a clearer picture of the U.S. economy's health. Recent reports have been a mixed bag, including Tuesday's Labor Department data on a slip in job openings along with a slight rise in hiring in July.

The Labor Department will report the latest consumer price index figures on Thursday and the Commerce Department will report August retail sales data on Friday. Economists continue to expect the Federal Reserve to cut interest rates at its meeting next week to help maintain U.S. economic growth.

KEEPING SCORE: The S&P 500 index fell 0.2% as of 12:50 p.m. Eastern time. The Dow Jones Industrial Average fell slightly to 26,844. The Nasdaq fell 0.2%. Small-company stocks outpaced the market for the second in a row. The Russell 2000 index rose 1.3%.

OVERSEAS: Stocks in Europe moved lower. Britain's planned Oct. 31 exit from the European Union remains a key concern for investors. Britain could face economic and trade chaos if it exits the EU without some kind of deal to regulate trade and other relations with member countries. Investors are also concerned that the departure could worsen a slowdown in growth throughout the continent and they expect the European Central Bank to unveil new monetary stimulus measures on Thursday to help shore up the region's economy.

Markets in Asia were mixed.

BREAKFAST BLUES: Wendy's slumped 11.5% after the fast-food chain cut its profit growth forecast because of plans to expand its breakfast options nationwide. It plans to invest $20 million this year in the expansion and expects up to 6.5% profit growth instead of 7% growth.

ENGINE TROUBLE: Ford fell 3.1% after Moody's cut the automaker's credit rating to "junk." Moody's is concerned that the company will be weighed down by weak earnings as it restructures. The move by Moody's makes it more costly for Ford to borrow money.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Corporate News, AP Business - Economy, AP Business - Financial Markets, AP Business - Industries, AP Business - Health Care
© Copyright 2019 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Groundbreaking photographer Robert Frank dies at age 94
Influential 20th-century photographer Robert Frank, author of 1959's 'The Americans,' has died at age 94
1:24PM ( 3 minutes ago )
The Latest: Apple game service comes Sept. 19 for $5 a month
Apple's new video game subscription service will cost $5 a month when it rolls out on Sept. 19
1:19PM ( 9 minutes ago )
In last words, Khashoggi asked killers not to suffocate him
A Turkish newspaper says in his final words, slain Saudi journalist Jamal Khashoggi urged his killers not to cover his mouth because he suffered from asthma and could suffocate
1:03PM ( 24 minutes ago )
Associated Press (AP)
PGA Tour season starts 17 days it ended
Golf notes: PGA Tour season brings more tournaments in the fall and more live streaming; Stricker plans more tournaments on regular tour
12:51PM ( 36 minutes ago )
Officials spar with senators over plan for mortgage giants
Trump administration officials are defending their plan to Congress for ending government control of mortgage finance giants Fannie Mae and Freddie Mac, clashing with Democratic senators on whether the change would raise home borrowing costs
12:37PM ( 50 minutes ago )
Share of uninsured Americans rises for 1st time in a decade
Proportion of Americans without health insurance rises for 1st time in decade; poverty rate falls
12:34PM ( 53 minutes ago )
AP Business
With little change, iPhones may get upstaged by streaming
Apple expected to reveal relatively minor changes to iPhone line-up amid sales slump that raises the stakes riding on an upcoming video service
11:06AM ( 2 hours ago )
The Latest: BMW gives glimpse of future offerings
BMW's marketing chief says giving customers a broad choice among internal combustion, hybrid and battery-powered cars is the right approach to a changing market
8:51AM ( 4 hours ago )
The Latest: Mercedes shows off sleek electric concept car
Daimler's Mercedes-Benz is showing off a long, sleek battery-powered concept vehicle that could join the luxury carmaker's model lineup alongside its S-Class flagship sedans
8:23AM ( 5 hours ago )
AP Business - Corporate News
UK opposition rages at Johnson after he suspends Parliament
Opposition politicians are furious at Prime Minister Boris Johnson's five-week suspension of Parliament ahead of the deadline for Brexit, which drew angry and unprecedented protests in the House of Commons
10:43AM ( 2 hours ago )
Irishman set to lead EU future trade talks with UK, US
The incoming president of the European Union's powerful executive arm has nominated Irishman Phil Hogan to lead future EU trade talks, which could put him in charge of negotiations with Britain after Brexit and with the United States
8:46AM ( 4 hours ago )
Officials defend plan to end govt control of Fannie, Freddie
Trump administration officials to go before Congress to defend their plan for ending government control of Fannie Mae and Freddie Mac, the mortgage finance companies that nearly collapsed and were bailed out at a cost to taxpayers of $187 billion
8:03AM ( 5 hours ago )
AP Business - Economy
Trump says peace talks with Taliban are now 'dead'
President Donald Trump says that as far as he's concerned, Afghanistan peace talks with the Taliban are dead
12:23AM ( 13 hours ago )
Trump's North Carolina rally to be a test for his clout, GOP
President Donald Trump's rally in North Carolina will be more than just a measure of his clout in trying to elect a Republican to a key House seat
6:00PM ( 19 hours ago )
Trump says peace talks with Taliban are now "dead"
President Donald Trump said Monday that U.S. peace talks with the Taliban on ending the war in Afghanistan are now "dead."
5:44PM ( 19 hours ago )
AP Business - Financial Markets
India, Nepal open cross border oil pipeline
The leaders of India and Nepal have inaugurated South Asia's first cross country oil pipeline, allowing the Himalayan nation of Nepal to receive an uninterrupted supply of oil from its large southern neighbor
5:34AM ( 7 hours ago )
PG&E plan offers billions to victims, others after wildfires
PG&E Corp. offers nearly $18 billion to settle claims from devastating wildfires in Northern California started by company equipment
9:48PM ( 15 hours ago )
Oil drilling plan near Utah monument draws tribal opposition
Oil drilling plan near Utah monument draws tribal opposition
6:57PM ( 18 hours ago )
AP Business - Industries
Sanders: Medicare for All means more taxes, better coverage
Health care was the focus of Democratic presidential hopeful Bernie Sanders' second day of campaigning in the critical early-voting state of South Carolina, where lack of Medicaid expansion has left thousands unable to obtain health coverage
1:42PM ( 1 week ago )
Children grow body hair from alleged drug mix-up in Spain
Parents of babies and toddlers in Spain who have developed abnormal body hair plan to sue a pharmaceutical company that mislabeled a drug for hair loss as one for treating acid reflux and related problems
12:19PM ( 1 week ago )
Feds: Probe into deaths at VA hospital is 'top priority'
Federal prosecutors say a criminal investigation into suspicious deaths at Veterans Affairs hospital is a 'top priority'
7:06PM ( 1 week ago )
AP Business - Health Care
Groundbreaking photographer Robert Frank dies at age 94
Influential 20th-century photographer Robert Frank, author of 1959's 'The Americans,' has died at age 94
1:24PM ( 4 minutes ago )
The Latest: Apple game service comes Sept. 19 for $5 a month
Apple's new video game subscription service will cost $5 a month when it rolls out on Sept. 19
1:19PM ( 9 minutes ago )
In last words, Khashoggi asked killers not to suffocate him
A Turkish newspaper says in his final words, slain Saudi journalist Jamal Khashoggi urged his killers not to cover his mouth because he suffered from asthma and could suffocate
1:03PM ( 25 minutes ago )
Millennial Money: Decode your credit card terms like a pro
A credit card's fine print can more than strain your eyes; your wallet can also feel the pain if you don't understand the terms
1:00PM ( 27 minutes ago )
Judge sets new sentencing date for Michael Flynn
A federal judge has set a Dec. 18 sentencing date for Michael Flynn as a lawyer for President Donald Trump's former national security adviser accused federal prosecutors of "egregious government misconduct."
12:57PM ( 31 minutes ago )