Wall Street fell on Thursday as losses in industrials and interest-rate sensitive sectors offset marginal gains in tech stocks.
Utilities <.splrcu> and real estate <.splrcr> dipped 0.6 percent and 1.0 percent, respectively. The two sectors, which are considered bond proxies, fell as yields on 10-year Treasury notes hit a 10-month high.
"We`ll continue to see a tug-of-war between how fast the economy grows and how fast interest rates rise," said Kate Warne, investment strategist at Edward Jones in St. Louis. "It`s likely to lead to more volatility in 2018 than we saw in 2017."
The Dow Jones Industrial Average <.dji> fell 97.84 points, or 0.37 percent, to 26,017.81, the S&P 500 <.spx> lost 4.53 points, or 0.16 percent, to 2,798.03 and the Nasdaq Composite <.ixic> dropped 2.23 points, or 0.03 percent, to 7,296.05.
Investors are keeping a close eye on corporate earnings reports, given the rise in stock valuations.
"There`s a lot of enthusiasm about what tax reform will do, what repatriation will do," said Michael O`Rourke, chief market strategist at JonesTrading in Greenwich, Connecticut. "Today, there`s just a bit of consolidation after a strong run-up."
Bank of New York Mellon Corp
IBM and American Express shares were lower after the market close on Thursday following their quarterly earnings reports.
The possibility of a government shutdown also loomed, though Warne said she believed it would have more impact on Wall Street`s performance if an agreement was not reached by the end of Friday.
The House of Representatives voted on Thursday to advance a bill for debate that would temporarily extend funding. The government is operating on its third temporary funding extension since the 2018 fiscal year began on Oct. 1.
Declining issues outnumbered advancing ones on the NYSE by a 2.64-to-1 ratio; on Nasdaq, a 1.74-to-1 ratio favoured decliners.
The S&P 500 posted 84 new 52-week highs and 12 new lows; the Nasdaq Composite recorded 127 new highs and 25 new lows.
Volume on U.S. exchanges was 6.93 billion shares, compared to the 6.3 billion average for the full session over the last 20 trading days.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)