Feb. 17—U.S. stock indexes closed mostly lower Tuesday as losses in health care and technology companies kept gains in energy and other sectors of the market in check.
The S&P 500 ended down less than 0.1% after giving up a modest early gain. Energy companies that stand to benefit from record electricity prices due to the frigid cold impacting much of the country surged.
Bond yields, which have been ticking higher on expectations of rising inflation, rose sharply. The yield on the 10-year
Despite the mostly tentative day of trading, the Dow Jones Industrial Average inched higher, enough to set another all-time high.
“You have a continuation of some of the trends that we've had recently and the kind of bifurcation within the market where the things that are benefiting from higher yields are continuing to do well, and that speaks to an improving economy and more inflation,” said
The S&P 500 slipped 2.24 points to 3,932.59. The Dow rose 64.35 points, or 0.2%, to 31,522.75. The Nasdaq Composite index fell 47.97 points, or 0.3%, to 14,047.50. The three indexes closed at record highs on Friday.
Stocks of smaller companies fared worse than the broader market. The Russell 2000 index lost 16.47 points, or 0.7%, to 2,272.89.
With the second impeachment trial over, investors believe
Vaccine distribution is improving and, separately, new case counts are decreasing. That's injecting more confidence into the prospects for a recovery while a new round of stimulus could help give people and businesses more money and improve consumer spending.
That long view of the economy, which has been bolstered by mostly upbeat economic data and corporate earnings, has been helping push bond yields higher, said
“It's reflecting that optimism,” he said. “Every ounce of information we get seems to confirm these story lines.”
Energy prices rose sharply Tuesday as record demand for heating across much of the frigid Midwest and
Heating oil prices rose 2.4%, much less than natural gas, since it's primarily used in the Northeast in older boilers to heat homes. The Northeast hasn't seen unreasonable temperatures for this time of the year.
Cruise line operators surged for the biggest gains in the S&P 500.
The rise in bond yields helped lift shares in financial companies.
Traders in cryptocurrencies pushed up the price of Bitcoin above
(c)2021 The Telegraph (Nashua, N.H.)
Visit The Telegraph (Nashua, N.H.) at www.nashuatelegraph.com
Distributed by Tribune Content Agency, LLC.