NEW YORK (AP) – U.S. stocks sank Wednesday, pulling indexes further below record highs. The drop was modest but broad: nine of the 10 sectors in the Standard & Poor’s 500 lost ground.
KEEPING SCORE: As of 11:28 a.m. Eastern time, the Standard & Poor’s 500 index was down 12 points, or 0.6 percent, to 2,096. The Dow Jones industrial average lost 111 points, or 0.6 percent, to 18,091, and the Nasdaq composite fell 14 points, or 0.3 percent, to 4,965.
TAKING A BREATHER: Given the market’s recent run, it’s only natural for investors to turn cautious, said Terry Sandven, senior equity strategist at U.S. Bank Wealth Management. On Monday, the S&P 500 reached an all-time high while the Nasdaq crossed the 5,000 mark for the first time in nearly 15 years.
“We’re in wait-and-see mode,” Sandven said. “Prices are definitely stretched, especially when earnings expectations are being set lower.”
MELTING, MELTING: Alcoa’s stock sank 6 percent, the biggest drop in the S&P 500, following news that analysts at Bank of America cut their ratings on the aluminum giant. BofA’s analysts expect prices for aluminum to lose strength as China increases its exports. Alcoa lost 96 cents to $14.22.