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Wall Street stocks drop after six-day gain

Wall Street stocks drop after six-day gain

Wall Street stocks closed lower Tuesday in thin trading, ending a six-day winning streak even after fresh data showed rising consumer sentiment and home prices falling at a slower pace.
The Dow Jones Industrial Average fell 1.67 points (0.02 percent) to 10,545.41, after rallying to a new 2009 high of 10,580.33 right out of the gate, marking its best level since early October last year.
The technology-rich Nasdaq composite fell 2.68 points (0.12 percent) to 2,288.40 and the broad-market Standard & Poor's 500 index shed 1.59 points (0.14 percent) to 1,126.19.
The market was listless Tuesday ahead of the New Year holiday.
"Declines in energy and tech stocks offset a rise in home prices and consumer confidence," said Wells Fargo Advisors market strategist Scott Marcouiller.
The "conviction on the Street remained absent, with traders preferring to sit on the steep gains the equity markets posted as the global economy exited the recession," analysts at Charles Schwab & Co said in a note to clients.
Market action began as the S&P/Case-Shiller home-prices indexes showed U.S. home prices dropped at a slower annual rate in October but prices were flat compared with September.
The report showed prices in 10 major metropolitan areas dipped 6.4 percent in October from a year earlier, while those in 20 major metropolitan areas fell 7.3 percent. Both indexes were flat in October from the previous month.
The market also weighed the latest consumer sentiment report from business research group The Conference Board.
Its December consumer confidence index climbed to 52.9 in December from an upwardly revised 50.6 in November, the second consecutive monthly rise.
The reading was a shade below the 53.0 expected by most analysts.
Consumer sentiment is a critical benchmark tracking recovery of the U.S. economy emerging from recession since December 2007.
Among falling stocks was Apple, down 1.19 percent toUS$ 209.10 after Nokia, the world's biggest mobile phone maker, said it had asked the U.S. International Trade Commission (ITC) to open an inquiry into alleged infringement of Nokia patents by the U.S. maker of the iconic iPhone.
Aerospace giant Lockheed Martin rose 1.27 percent to US$76.66 after it announced a sale of 24 F-16 jet fighters to Egypt in a US$3.2 billion deal.
Morgan Stanley was up 0.48 percent to US$29.43 following a Wall Street Journal report that the bank was poised to overhaul the way it pays its most senior executives.
AIG gained 0.51 percent to US$31.66 after the same newspaper reported that the government-rescued ailing insurance giant was preparing to pay its general counsel several million U.S. dollars in severance after she resigned over federal pay curbs.
The bond market rose. The yield on the 10-year U.S. Treasury bond fell to 3.809 percent from 3.842 percent Monday and that on the 30-year bond dropped to 4.647 percent from 4.704 percent. Bond yield and prices move in opposite directions.


Updated : 2021-06-23 04:22 GMT+08:00