Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., November 10, 2016. REUTERS/Brendan McDermid
The S&P 500 healthcare sector .SPXHC was down 0.78 percent after having risen for the past five trading days.
The sector gained momentum after Republican Donald Trump’s victory triggered a wave of relief across the sector.
While banks, pharmaceutical companies, defense and industrial stocks are likely to gain from Trump’s proposals to simplify regulation and boost spending, his stance on limiting immigration and free trade run counter to some of the technology industry’s most basic interests.
“I think post-Trump victory rally, which created portfolio adjustments, is peaking,” said Peter Cardillo, chief market economist at First Standard Financial in New York.
Oil prices fell more than 2 percent as the market refocused on a persistent supply overhang that is not expected to abate unless OPEC and other producers cut their output significantly. [O/R].
Eight of the 11 major S&P 500 sectors were lower, with declines in energy .SPNY and health .SPXHC being the steepest.
At 9:45 a.m. ET the Dow Jones industrial average .DJI was down 8.02 points, or 0.04 percent, at 18,799.86.
Economic growth prospects appear strong enough for the Federal Reserve to proceed with a gradual increase in interest rates, Fed Vice Chair Stanley Fischer said in his first remarks since the election of Trump as U.S. president.
U.S. bond markets are closed for Veteran’s Day on Friday. But already this week the 10-year Treasury yield US10YT=RR has hit its highest levels in 10 months.
Nvidia (NVDA.O) shares jumped 21.5 percent after the graphic chipmaker reported its biggest quarterly revenue growth in more than six years.
Walt Disney (DIS.N) rose 2.9 percent to $97.74 after its executives promised earnings growth for the next two years. Barclays also upgraded the media company’s stock to “equal weight” from “underweight”.
Declining issues outnumbered advancing ones on the NYSE by 1,540 to 1,180. On the Nasdaq, 1,275 issues rose and 1,045 fell.
The S&P 500 index showed 15 new 52-week highs and six new lows, while the Nasdaq recorded 83 new highs and 18 new lows.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by Anil D’Silva)
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