Investing.com – Once stocks bash their way to new highs, the encore can be frustrating.
So it was Tuesday as investors seemed to take a “show me” attitude before making decisions that could push a pricey market higher.
The major averages moved to new intraday highs soon after the open, but the gains faded as the day wore on. The gave up the last of its gains at the close, finishing off 0.1%. The slipped 0.3%, and the index dropped 0.4%. The Index dropped 0.5%.
At the end of the day, the S&P 500 was still up 19.8% for this year, with the Dow up 17.2% and the Nasdaq enjoying a 23.9% gain.
The stagnation may be part to traders not being impressed by earnings reports. But it also may be that they’re considering taking money off the table after the market’s big run since early June. Stocks jumped to new record highs last week as Wall Street celebrated the Federal Reserve’s willingness to cut interest rates to support the economy.
Holding the market back Tuesday was weakness in energy, utility and healthcare shares.
Apache (NYSE:), Chesapeake Energy (NYSE:) and Devon Energy (NYSE:) were all lower, along with Consolidated Edison (NYSE:), the big New York utility company. Johnson & Johnson (NYSE:) and UnitedHealth Group (NYSE:) were lower.
On the flip side, there was a group of winners from the oil-price drop: airlines, led by JetBlue (NASDAQ:), Alaska Air (NYSE:) and United Airlines parent United Continental Holdings (NASDAQ:).
What strength you could find was in industrials, materials and consumer discretionary shares, with gains in such stocks as Boeing (NYSE:), Whirlpool (NYSE:), U.S. Steel (NYSE:) and International Paper (NYSE:).
Among consumer stocks, Costco Wholesale (NASDAQ:), Chipotle Mexican Grill (NYSE:) and Hershey (NYSE:) moved up. Costco’s gain was tiny and came after hitting a new intraday high.
In oil, slumped more than 3% to $57.62 a barrel on a comment from President Donald Trump suggesting Middle East tensions were easing. That raised fears that global oil supplies are more than ample. WTI fell to as low as $57.02. , the global benchmark, fell 3.2% to $64.35. The price had fallen to as low as $63.82.
As a result, Exxon Mobil (NYSE:) fell 1.5%; Chevron (NYSE:) dropped 0.8%. The index dropped 1.5%.
In addition, interest rates moved up, even as Federal Reserve Chairman Jerome Powell repeated his vow to act as appropriate to support the economy. The Treasury yield rose 1% to 2.113%.
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