Nasdaq Sets Record, But Wall Street Flat on Earnings Reports
The S&P 500 and the Dow ended Tuesday's session flat after mixed economic data and retail earnings news caused investors to pause, while the technology-focused Nasdaq had another record close.
By Paolo Palazzi-Xirinachs
Tuesday, May 16, 2017 - 00:00
The Nasdaq added 20.20 points, or 0.33 percent, to 6,169.87, a new record close for the index. Meanwhile the Dow Jones Industrial closed down 2.19 points, or 0.01 percent, to 20,979.75, and the S&P 500 lost 1.65 points, or 0.07 percent, to 2,400.67, easing from an intraday record high of 2,405.77.
Declining issues outnumbered advancing ones on the NYSE by a 1.24-to-1 ratio; on Nasdaq, a 1.01-to-1 ratio favored decliners. About 6.4 billion shares changed hands on US. exchanges compared with the 6.8 billion average for the last 20 sessions.
Only two of the 11 major S&P 500 sectors closed higher, with technology providing the biggest boost. The sector rose 0.5 percent, with an outsized boost from Microsoft which rose 2 percent.
In other financial news, US manufacturing production showed its biggest increase in more than three years in April, bolstering a view that economic growth picked up early in the second quarter despite a surprise decline in home building.
Investors were also cautious about potential delays to the government's tax and regulation reform agenda after reports late Monday that President Donald Trump disclosed highly classified information to Russia's foreign minister about a planned Islamic State operation. The mood on Wall Street seems to be a combination of earnings and better-than-expected industrial production, countered with concerns about future economic data and the fact we continue to see weak retail sales. With the consumer being more than two-thirds of economic growth, if consumer spending is weak, how long can the US economy see solid economic growth?
This information has been prepared by Nadex, a trading name of North American Derivatives Exchange, Inc., prepared by independent third parties contracted by Nadex or reproduced form third party news agencies. In addition to the disclaimer below, the material on this page does not contain an offer of, or solicitation for, a transaction in any financial instrument. Nadex accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.