Stocks finished mixed Tuesday as investors digested earnings reports and awaited further developments on the U.S.-China trade front. The Dow declined 102 points, while the S&P 500 lost less than 0.1%. The Nasdaq Composite gained 0.2% to close at a record high.
Seven of 11 S&P 500 sectors ended the session in negative territory. Energy stocks led decliners as WTI crude lost 3.2% amid oversupply fears. Meanwhile, disappointing earnings reports from retailers contributed to the Dow’s underperformance. Home Depot lost more than 5.0% after the home improvement giant cut its annual growth outlook for the second time this year, and posted sales short of analyst estimates. Shares of Kohl’s slipped 19.5% after the department store disappointed on both the top and bottom line, and missed same-store sales estimates. Software company ServiceNow jumped 4.3% after replacing Celgene in the S&P 500. Boeing lost 0.7% despite news the jet maker received orders for 50 of its embattled 737 MAX planes.
Market participants also kept tabs on trade news amid a statement from President Trump that he will impose higher tariffs if a deal is not reached. However, sentiment was buoyed after the White House issued another 90-day license extension to allow American companies to continue conducting business with Chinese Tech giant Huawei.
On the data front, housing starts rose 3.8% in October, while building permits jumped to a 12-year high in the same period. Treasuries strengthened, with the yield on the 10-year note down three basis points to 1.78%.