U.S. Stock Indexes Slide in Afternoon Trading; Oil Rebounds

(AP) -
U.S., Stock Indexes, Slide, Afternoon, Trading, Oil, Rebounds
The floor of the New York Stock Exchange, Tuesday, June 6, 2017. (AP Photo/Richard Drew)

Disappointing results from several retailers weighed on U.S. stocks in afternoon trading Tuesday, extending the market’s modest losses from the day before. The consumer discretionary sector, which includes retailers, was down the most. Banks also declined, reflecting a steep drop in bond yields. Energy stocks led the gainers as crude oil prices rebounded.

KEEPING SCORE: The Standard & Poor’s 500 index fell three points, or 0.1 percent, to 2,433 as of 2:09 p.m. Eastern Time. The Dow Jones industrial average slid 27 points, or 0.1 percent, to 21,156. The Nasdaq composite index was down less than one point to 6,295. Small-company stocks fell more than the rest of the market. The Russell 2000 gave up three points, or 0.3 percent, to 1,392.

THE QUOTE: “The growth stocks are still doing, by and large, better than the value stocks, and the small-cap stocks are doing worse than the large caps,” said Tom Martin, senior portfolio manager at Globalt Investments.

RETAIL SLUMP: Macy’s led a slide among big department store chains. In a presentation to investors, Chief Financial Officer Karen Hoguet said the company’s gross margins could fall more than Macy’s expected a couple of months ago, with the first half of the year especially weak. Macy’s continues to grapple with too much holiday inventory and a lot of discounts on beauty products. The company was the biggest decliner in the S&P 500, falling $1.67, or 7 percent, to $22.19. Kohl’s fell $2.62, or 6.9 percent, to $35.30. Nordstrom dropped $1.75, or 4.2 percent, to $39.90.

SALES BIND: Fastenal was down 6.1 percent after the maker of industrial fasteners reported its May sales figures. The stock was the biggest decliner in the S&P 500, falling $2.74 to $41.91.

BUMPY OUTLOOK: Conn’s slumped 11.7 percent after the furniture and mattress retailer issued a disappointing second-quarter outlook for sales at its established stores. The stock declined $2.20 to $16.68.

INCOVENIENT QUARTER: Casey’s General Stores slid 9.2 percent after the convenience store operator’s latest quarterly report card fell short of analysts’ expectations. The stock fell $10.74 to $105.76.

GOOD LOOK: G-III Apparel Group climbed 16.2 percent after the owner of Wilsons Leather and G.H. Bass stores posted better-than-expected quarterly results. The company also raised its estimates for the year. G-III Apparel shares gained $3.22 to $23.11.

SMOOTH RIDE: Thor Industries jumped 11.5 percent after the RV maker reported profit and sales that handily beat Wall Street’s expectations. The stock rose $10.93 to $105.62.

MARKETS OVERSEAS: In Europe, a weak report on retail sales in the 19-country eurozone weighed on markets. Germany’s DAX was down 1 percent, while France’s CAC 40 was 0.7 percent lower. Britain’s FTSE 100 was flat ahead of the U.K. election on Thursday. In Asia, Japan’s benchmark Nikkei 225 dipped nearly 1.0 percent, while Hong Kong’s Hang Seng edged up 0.5 percent. South Korean markets were closed for a holiday.

ENERGY: Crude oil prices rebounded after an early slide. Benchmark U.S. crude was up 40 cents, or 0.8 percent, at $47.80 a barrel in New York. The contract fell 26 cents on Monday. Brent crude, used to price international oils, was up 34 cents, or 0.7 percent, at $49.81 a barrel in London.

METALS: Gold added $14.80, or 1.2 percent, to reach $1,297.50 per ounce. Silver rose 13 cents to $17.71 per ounce, while copper lost a penny to reach $2.55 per pound.

CURRENCIES: In currency trading, the dollar weakened to 109.32 yen from 110.49 yen on Monday. The euro increased to $1.1278 from $1.1255.

TREASURY YIELDS: Bond prices rose. The 10-year Treasury yield fell to 2.13 percent from 2.18 percent late Monday.