US stocks retreat, cutting into weekly gains
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Traders work on the floor of the New York Stock Exchange, during morning trading on Jan 24, in New York City.
PHOTO: AFP
NEW YORK - Wall Street stocks concluded a winning week on a tepid note on Jan 24, retreating following mixed earnings in a move attributed to profit taking.
After a flattish open, all three major indices moved into negative territory - a trend that held the rest of the session.
“This is normal consolidation or profit taking after a big 2-week rally,” said Mr Adam Sarhan, of 50 Park Investment.
The S&P 500, which closed at a record on Jan 23, fell 0.3 per cent to 6,101.24.
The Dow Jones Industrial Average also declined 0.3 per cent to 44,424.25, while the tech-rich Nasdaq Composite Index dropped 0.5 per cent to 19,954.30.
Stocks have gained in recent sessions following benign US inflation data, strong earnings from banks and the new presidency of Mr Donald Trump in Washington.
Markets have thus far welcomed his growth-oriented agenda and largely shrugged off his threats of tariffs.
Mr Sarhan said the market was poised for a pause given the heavy calendar next week, which includes a Federal Reserve monetary policy decision and earnings from tech giants and other big companies.
Among individual companies, Facebook parent Meta shot up 3.2 per cent after chief executive officer Mark Zuckerberg said the company would invest up to US$65 billion (S$87 billion) in 2025 in new artificial intelligence infrastructure, including a datacentre “so large it would cover a significant part of Manhattan.”
Boeing dropped 1.4 per cent after announcing it will incur a bigger than expected loss in the fourth quarter due mainly to costs connected to a lengthy labour strike in 2024.
Others with big earnings-related moves included American Express, down 1.4 per cent; CSX, down 5.8 per cent; and Texas Instruments, down 13.1 per cent. AFP
