U.S. Stocks Stabilize After Selloff
By Michael Wursthorn
Resurgent shares of technology companies helped the Nasdaq Composite eke out a gain Tuesday.
Even with tech's rise, however, eight of the 11 major S&P 500 sectors closed lower, leaving the broad index little changed, while the Dow Jones Industrial Average slipped less than a percentage point.
The stabilization came a day after tensions flared between the U.S. and North Korea, contributing to declines in U.S. stocks. Some analysts attributed tech's rebound Tuesday to investors taking advantage of the sector's decline a day earlier.
Shares of tech companies have been big contributors to this year's gains in the U.S. stock market.
"Investors are looking to pick up things that have fallen down a little bit," said Chris Wolfe, chief investment officer at First Republic Bank's wealth-management arm. With bond yields still relatively low, "you get into a place where equities are the only game in town," he added.
The tech-heavy Nasdaq Composite rose 9.57 points, or 0.2%, to 6380.16, while the S&P 500 rose 0.18 point, or less than 0.1%, to 2496.84.
The Dow industrials were in positive territory for much of the session, but declined heading into the close. The blue-chip index slipped 11.77 points, or less than 0.1%, to 22284.32, its fourth straight session of declines and its longest losing streak since June.
Apple, which has stumbled this month following the rollout of its latest slate of iPhones and watches, was among the tech sector's biggest gainers Tuesday. The company rose $2.59, or 1.7%, to $153.14.