Hopes that the United States and China will formalise a trade agreement have helped lift stocks to records but buying fatigue is beginning to set in, analysts said. — Reuters pic
NEW YORK, Nov 6 — Wall Street stocks dipped early today, pausing after recent records, as investors awaited concrete progress on US-China trade talks.
Hopes that the United States and China will formalise a trade agreement have helped lift stocks to records but buying fatigue is beginning to set in, analysts said.
“The baseline view remains that a partial deal of some kind will be reached soon but with the absence of pen to paper to sign a deal, past history suggests market participants can’t take that fully for granted,” analyst Patrick O’Hare wrote at Briefing.com.
“Hence, some of the upward momentum linked to trade deal optimism has ebbed.”
About 20 minutes into trading, the Dow Jones Industrial Average stood at 27,476.44, down 0.1 per cent.
The broad-based S&P 500 also shed 0.1 per cent, falling to 3,073.12, while the tech-rich Nasdaq Composite Index declined 0.3 per cent to 8,410.11.
The Dow has closed at records the last two days. Besides better sentiment on trade, the market has also been boosted by better-than-expected earnings and a series of Federal Reserve interest rates cuts.
HP Inc surged 10.6 per cent following reports that Xerox is considering acquiring the technology company. Xerox gained 2.3 per cent. — AFP