U.S. stocks fell Wednesday after retail giant Target reported earnings that missed expectations while trade talks with China remained
uncertain after President Donald Trump said the current dealmaking may be “too hard to get done.”
The Dow Jones Industrials lost 66.91 points to 24,767.50, as Goldman Sachs and 3M led the blue-chip index lower.
The S&P 500 dropped 5.18 points to 2,719.26, amid a 0.9% decline in financials stocks and a 0.7% decline in materials stocks.
The NASDAQ faltered 7.87 points to 7,370.59, declines in Apple, Amazon and Microsoft.
Shares of Minneapolis-based Target sank more than 5% on Wednesday after it reported first-quarter earnings that missed analysts’ expectations on both the top and bottom lines.
The company blamed poor spring weather for the disappointing performance as it works to remodel many of its locations.
Home improvement retailer Lowe’s also missed expectations for the first quarter, reporting a rise in sales of just 0.6% versus expectations of a 3% increase
High-end jeweler Tiffany, meanwhile, easily beat analysts’ estimates. The company’s stock rose more than 14% after reporting earning per share of $1.14 versus expectations of 83 cents. It also raised its full-year guidance in light of the solid beat.
The New York-based company suggested its comeback plan is working to retain price-conscious millennial shoppers from drifting to new competitors.
Uncertainty over the future of trade agreements between the United States and China has kept stocks on edge over the past two days after the Trump administration said it wasn’t satisfied with the current discussions.
The president downplayed expectations for a deal Wednesday, suggesting a new direction for talks between the world’s economic powerhouses.
On the data front, there were flash manufacturing and services purchasing managers’ index figures and new home sales due this morning.
Minutes from the Federal Reserve’s latest meeting will be released at 2 p.m. ET.
Prices for the benchmark for the 10-year U.S.Treasury were higher, lowering yields to 3.02% from Tuesday’s 3.06%. Treasury prices and yields move in opposite directions.
Oil prices ditched 21 cents at $71.99U.S. a barrel.
Gold prices skidded $3.30 at $1,288.70U.S. an ounce.
This article provided by NewsEdge.