Wall St falls as investors await Nvidia results, Fed minutes
For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
Lowe's falls on annual forecast cut
Best Buy down on weak outlook
Kohl's slips on quarterly sales miss
Fed meeting minutes due 1400 ET
Indexes down: Dow 0.28%, S&P 0.39%, Nasdaq 0.86%
Updated at 11:41 a.m. ET/ 1641 GMT
By Amruta Khandekar and Shristi Achar A
Nov 21 (Reuters) - U.S. stocks fell on Tuesday, pulling back after a recent streak of gains as investors awaited Nvidia's quarterly results and minutes of the Federal Reserve's last policy meeting for clues on the central bank's interest rate path.
A technology-fueled rally led the S&P 500 .SPX and the Nasdaq .IXIC to register their highest closing levels in over three months on Monday, as investors continued to bet that the Fed was at the end of its rate-hiking cycle.
Both indexes were on track to snap a five-day winning streak on Tuesday.
Equities are giving back some of their recent gains, said Roosevelt Bowman, senior investment strategist at Bernstein Private Wealth Management.
"What's supportive of markets going into the end of the year is reduced uncertainty around the Federal funds rate and reduced interest rate volatility," Bowman said.
Big Tech stocks, which have powered most of the S&P 500's gains this year, face an important test, with Nvidia NVDA.O due to report third-quarter results after markets close.
The chip designer is expected to deliver yet another strong revenueforecast, but the focus will be on the impact of widening U.S. curbs on sales of its high-end chips to China.
Shares of Nvidia slipped 1.8%. Most other megacap stocks, such as Microsoft MSFT.O and Amazon.com AMZN.O, also fell.
Before Nvidia'squarterly report, minutes of the Fed's November meeting are likely to offer more cues on the monetary policy path after evidence of easing consumer and producer prices boosted expectations that U.S. interest rates had peaked. The minutes are due to be released at 1400 ET (1900 GMT).
Traders have fully priced in the probability that the Fed will hold interest rates steady in December, with 29% betting on the likelihood that the central bank will deliver a rate cut as soon as March, according to the CME Group's Fedwatch tool.
At 11:41 a.m. ET, the Dow Jones Industrial Average .DJI was down 96.87 points, or 0.28%, at 35,054.17, the S&P 500 .SPX was down 17.77 points, or 0.39%, at 4,529.61, and the Nasdaq Composite .IXIC was down 123.49 points, or 0.86%, at 14,161.04.
A slew of downbeat corporate updates from U.S. retailers painted a dour picture for consumer spending.
Lowe's Cos LOW.Nfell 2.8% after the home improvement chain projected a bigger drop in annual comparable sales than previously expected andtrimmed its profit forecast for the year.
The S&P 500 retail sub-index .SPXRTfell 1.9%.
Best Buy BBY.Nslipped 1% afterthe electronics retailer said it expects a steeper drop in annual comparable sales, while Kohl's Corp KSS.Nshed 9.9% on missing third-quarter sales estimates.
This week is light in terms of economic data, while trading volumes are also expected to be thin ahead of the Thanksgiving holiday.
Declining issues outnumbered advancers for a 1.76-to-1 ratio on the NYSE and for a 1.92-to-1 ratio on the Nasdaq.
The S&P index recorded 24 new 52-week highs and no new lows, while the Nasdaq recorded 41 new highs and 85 new lows.
Nvidia's gains outpaces U.S. stocks in 2023 https://tmsnrt.rs/3SQbJmY
Reporting by Amruta Khandekar and Shristi Achar A; Editing by Maju Samuel and Pooja Desai
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
