Stocks down slightly after 5-day winning streak
In this Sept. 17, 2008 file photo, a Wall Street sign is shown in New York. Stocks are rising modestly in early morning trading Friday, July 15, 2016 as the market extends a winning streak into a sixth day. AP
NEW YORK — Stocks are falling slightly in morning trading Friday as the market breaks a five-day winning streak that sent major indexes to fresh highs. Bond yields climbed. Technology and consumer discretionary stocks are dropping the most.
KEEPING SCORE: The Dow Jones industrial average fell 2 points, or less than 0.1 percent, to 18,504 at 11:32 a.m. Eastern time. The Standard & Poor’s 500 index lost 3 points, or 0.2 percent, to 2,161. The Nasdaq composite fell 6 points, or 0.1 percent, to 5,028.
THE QUOTE: After the recent gains, “you have to be concerned. Are we going to see more slowing of the global economy?” said Bill Stone, chief investment officer at PNC Asset Management. “What is going to be the real impact of Brexit?”
SUPPLEMENT SURGE: Herbalife rose $9.21, or nearly 16 percent, to $68.57 after The Federal Trade Commission decided not to classify the nutritional supplements company as a pyramid scheme, as was alleged by investor Bill Ackman. The company did agreed, however, to pay $200 million to resolve allegations that it deceived consumers.
BANK BLUES: Wells Fargo fell $1.21, or 2.5 percent, to $47.73 after the consumer banking giant reported that second-quarter earnings fell.
INFLATION CHECK: The Labor Department reported consumer prices rose a modest 1 percent in June from a year ago, well below the Federal Reserve’s 2 percent inflation target. The Fed, which meets July 26-27, wants to see evidence that inflation is ticking up before raising interest rates.
SHOPPING MORE: The Commerce Department reported that U.S. retail sales rose a robust 2.7 percent in June from a year earlier. Consumer spending accounts for about two-third of economic output in the U.S., much higher than in many other developed countries.
ATTACK IN FRANCE: Trading was subdued in Europe after a man drove a truck into crowds celebrating Bastille Day along the beachfront of Nice, killing at least 84 people.
EUROPE SLIPS: France’s CAC-40 was down 0.6 percent while Germany’s DAX fell 0.2 percent. Britain’s FTSE 100 was flat.
TRAVEL SLUMP: Travel-related stocks fell in the wake of the attack. Cruise operator Royal Caribbean fell $1.26, or 1.8 percent, to $70.63 and Delta Air Lines fell 97 cents, or 2.4 percent, to $40.01.
CHINA GROWTH: The Chinese government says its economy expanded at a steady 6.7 percent in the April-June period as spending on construction by state-owned companies in the world’s second-largest economy helped compensate for weak private sector demand.
ASIA’S DAY: Japan’s Nikkei 225 rose 0.7 percent. The Hang Seng index in Hong Kong climbed 0.5 percent and South Korea’s Kospi index added 0.4 percent.
BONDS AND CURRENCIES: Bond prices fell. The yield on the 10-year Treasury note rose to 1.59 percent from 1.54 percent. The euro fell to $1.1076 from $1.1123 and the dollar rose to 105.93 yen from 105.43 yen.
ENERGY: Benchmark U.S. crude rose 38 cents to $46.06 a barrel in New York, while Brent crude, a standard for international oil prices, rose 44 cents to $47.81 a barrel in London. TVJ
