The stock market retreated from its nominal highs on Thursday, with the Standard Poor’s 500-stock index slipping after five days of gains.
Despite the pullback, the Dow Jones industrial average remained above the 15,000 mark, while the Standard Poor’s 500-stock index was still well above 1,600.
The length of the recent market rally has surprised some investors. Analysts said it was difficult for stocks to continue their upward momentum without further catalysts, such as first-quarter earnings reports, which are nearing an end.
“This market is so stretched to the upside that if we get some little wiggle somewhere, I can easily see us getting back down to 1,580” on the S. P. 500, said Stephen J. Massocca, managing director of Wedbush Equity Management.
The Dow industrials fell 22.50 points, or 0.2 percent, to close at 15,082.62. The S. P. 500 declined 6.02 points, or 0.4 percent, to 1,626.67. The Nasdaq composite index slipped 4.10 points, or 0.1 percent, to 3,409.17.
The day’s main economic data was basically positive, but failed to give much of a boost to stocks. The number of Americans filing new claims for unemployment benefits fell to their lowest level in more than five years.
New jobless claims fell by 4,000 last week to a seasonally adjusted 323,000, the Labor Department said. The four-week moving average of jobless claims, a less-volatile figure, dropped 6,250, to 336,750.
Apple helped lead the declines of both the S. P. 500 and the Nasdaq, falling $4.02, or 0.9 percent, to $456.77. I.B.M. was the biggest drag on the Dow, dropping $1.58, or 0.8 percent, to $203.24.
Despite the day’s declines, the Dow is up 15.1 percent so far this year, while the S. P. 500 is up 14.1 percent.
Trading was fairly volatile. The market, which had been down slightly from the opening bell through midday, reversed course and began to edge higher in early afternoon. Stocks lost steam later in the session.
Limiting the losses in the S. P. 500, News Corporation shares rose $1.46, or 4.6 percent to $33.44 after it reported earnings late Wednesday that beat expectations.
Among the stocks making big gains, Tesla Motors surged $13.61, or 24.4 percent, to $69.40 a day after posting earnings that were three times what analysts had expected, as the company sold more cars than initially forecast.
Barnes Noble shot up $4.31, or 24.3 percent, to $22.08, after TechCrunch, an influential technology Web site, published an unconfirmed report that Microsoft was considering an offer to acquire all of the company’s Nook Media’s digital assets for $1 billion. Microsoft fell 33 cents, or 1 percent, to $32.66.
In the bond market, interest rates moved up. The price of the Treasury’s 10-year note fell 21/32, to 99 14/32, while its yield rose to 1.81 percent, from 1.77 percent late Wednesday.
Article source: http://www.nytimes.com/2013/05/10/business/daily-stock-market-activity.html?partner=rss&emc=rss
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