The Dow slid 45.74 points, or 0.13 per cent, to end at 34,945.47 and snap a four-day run of gains
The Dow Jones Industrial Average ended lower Thursday, as investors took a break from the rally seen this month.
The 30-stock Dow slid 45.74 points, or 0.13 per cent, to end at 34,945.47 and snap a four-day run of gains. The S&P 500 rose 0.12 per cent and closed the session at 4,508.24. The Nasdaq Composite edged up 0.07 per cent, ending at 14,113.67.
Cisco Systems slipped around 10 per cent a day after the networking hardware maker offered weak guidance for the current quarter and full fiscal year. Walmart slipped 8 per cent after the world’s biggest retailer issued a lower-than-expected forecast for the year. Both stocks were the biggest decliners in the Dow.
Shares of Chevron also slid 1.6 per cent as U.S. crude oil prices dropped nearly 5 per cent.
Even as November’s rally paused, stocks are well on their way toward winning weeks, with the three indexes up nearly 2 per cent each for the period. Two inflation reports had a role in lifting stocks earlier this week.
October’s producer price index (PPI), a gauge of wholesale prices, slipped 0.5 per cent. That marked its biggest monthly drop since April 2020. In the meantime, the consumer price index (CPI) held flat in October, another positive sign for investors hoping the Fed may be satisfied with the cooling inflation trend.
Economic data so far is confirming that for now we are in this gentle deceleration, back towards less inflation without evidence of a severe contraction, said Tom Hainlin, senior investment strategist at U.S. Bank Wealth Management. It is like this Goldilocks scenario of inflation decelerating, but not too swiftly.
The major averages are on pace for sizeable gains this month. The S&P 500 is over 7 per cent higher, while the Dow has added 5.7 per cent. The Nasdaq is up 9.8 per cent.
