Dow streak of records ends amid US-North Korea tensions

A video board shows the day's numbers after the closing bell of the Dow Industrial Average at the New York Stock Exchange on Aug 8, 2017.
A video board shows the day's numbers after the closing bell of the Dow Industrial Average at the New York Stock Exchange on Aug 8, 2017. PHOTO: AFP

NEW YORK (AFP) - Wall Street stocks fell on Tuesday (Aug 8) amid rising tensions between the United States and North Korea, bringing the Dow's streak of nine straight records to an end.

Stocks had pushed into positive territory, but dropped in the last hour of trading after President Donald Trump warned Pyongyang it will face "fire and fury" if it continues to threaten the United States.

The comments came after media reports that North Korea has produced a nuclear warhead small enough to fit inside its missiles.

All three major stock indexes dropped 0.2 per cent at the close, with the Dow Jones Industrial Average finishing at 22,085.34, halting a nearly two-week run of closing records.

The broad-based S&P 500 dipped to 2,474.92, and the tech-rich Nasdaq Composite Index dropped to 6,370.46.

Ralph Lauren Corp. shot up 13.3 per cent after reporting a net income of US$59.5 million (S$81 million) in earnings through July 1, up from a loss of US$22.3 million in the year-ago period.

Michael Kors surged 21.5 per cent after reporting 80 cents per share in the quarter ending July 1, 18 cents above analyst expectations.

Media giant CBS rose 1.8 per cent after reporting better-than-expected second-quarter earnings as it boosted subscriptions to the network's streaming services.

Avis Budget Group slumped 9.9 per cent as it cut its full-year earnings forecast due to weak car-rental pricing amid a glut of autos. Net income fell to US$3 million from US$36 million in the year-ago quarter.