By Dow Jones Business News,
June 11, 2014, 04:40:00 PM EDT
By Anora Mahmudova, MarketWatch
NEW YORK (MarketWatch) -- The U.S. stock market fell on Wednesday, with the Dow Jones Industrial Average snapping a
five-day winning streak and retreating from the record level reached on Tuesday.
The blue-chip index (DJI), which was only 54 points from reaching the 17,000 level after Tuesday's close, was set
back after falling 102.04 points, or 0.6% to 16,883.88.
The S&P 500 (SPX) closed 6.90 points, or 0.4%, lower at 1,943.89.
The Nasdaq Composite (RIXF) ended the day down 6.07 points, or 0.1% at 4,331.93.
Read the recap of MarketWatch's live blog of Wednesday's stock-market action.
Weighing on sentiment was a report from the World Bank, which cut a global growth forecast, saying that the harsh
winter in the U.S. and a conflict between Russian and Ukraine dragged growth in the U.S. and Europe during the first
Robert Zagunis, managing director and portfolio manager at Jensen Investment Management, said that the current
environment of steady growth and low inflation is still favorable to stocks.
"While as a whole, markets have seen incremental changes, individual companies are seeing adjustments. Companies with
stronger balance sheets and good earnings will continue to do well," Zagunis said.
Earnings releases sparked some action in individual stocks.
H&R Block ( HRB ) shares rallied 4.6% after fiscal fourth-quarter profit and revenue jumped as a late start to the tax
reason pulled revenue into the tax-services provider's latest quarter.
Shares of U.S. airline companies were hit, following a profit warning for both 2014 and 2015 by Deutsche Lufthansa AG
Delta Air Lines Inc. ( DAL ) fell 2.9%, American Airlines Group Inc. ( AAL ) dropped 3.1% and United Continental Holdings
Inc. ( UAL ) lost 5.2%.
Ulta Salon Cosmetics & Fragrance Inc. ( ULTA ) shares surged 14% after the company posted gains in earnings and sales
Across other markets, European stocks closed lower. Asian stocks didn't provide much buying impetus either, with Hong
Kong's Hang Seng Index falling 0.3% after two straight days of gains.
Oil futures settled with a slight gain on Wednesday as a cut to a global growth forecast offset support from a bigger-
than-expected decline in weekly U.S. crude supplies.
Gold futures settled higher for a third session in a row Wednesday, modestly extending a rise above $1,260 an ounce as
optimism over global growth prospects took a hit and equities gave back some gains from their record run.
The dollar fell against major rivals Wednesday, pushing below 102 yen.
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