US close: Stocks finish mixed as banks, retailers slip

(Sharecast News) - Wall Street stocks showed a varied performance on Tuesday, with major indices ending the day on a split note as investors awaited an impending speech from Federal Reserve chair Jerome Powell later in the week. The Dow Jones Industrial Average closed 0.51% lower at 34,288.83, while the S&P 500 also reported a slight decline, down by 0.28% to end the day at 4,387.55.

However, the technology-heavy Nasdaq Composite bucked the trend, ending Tuesday's trading session 0.06% firmer to close at 13,505.87.

In the currency space, the dollar was last up 0.01% on sterling at 78.55p, while it was unchanged against the common currency to trade at 92.2 euro cents.

The greenback saw a negligible dip of 0.02% against the yen, changing hands at JPY 145.86.

"After yesterday's rebound, and the follow through in European markets today, US markets initially opened higher with earnings once again taking centre stage, while yields have taken a step back from their recent highs," said CMC Markets chief market analyst Michael Hewson earlier.

"Sentiment also got a bit of a lift by chatter that a discussion on the Fed's inflation target being reset to 3% might take place at Jackson Hole this weekend.

"If this were to happen, then it would mean that the central bank need not be as aggressive in returning inflation to target if the target were raised from 2% to 3%."

July sees decline in existing home sales, falling short of predictions

In economic news, the housing market was in focus as fresh data showed a 2.2% monthly decline in existing home sales for July, settling at 4.07 million.

The figure slightly missed the previously-anticipated consensus, which had pegged sales at 4.15 million.

"The key constraint on sales continues to be a lack of supply; the number of existing homes for sale at the end of July was equal to just 2.9 months of sales, up trivially from June but unchanged, net, since February," said Kieran Clancy, senior US economist at Pantheon Macroeconomics.

"This, in turn, reflects the disconnect between the current mortgage rate and the much lower average rate on outstanding mortgages.

"The gridlock will only be broken once the Fed starts signalling rate cuts next year, but existing home sales will continue to bounce along the floor in the meantime."

Bank shares tumble following S&P downgrades; retailers in focus

In equity markets, several banking institutions took hits following downgrades from S&P Global.

The move from S&P came closely on the heels of a Fitch Ratings decision to adjust the operating environment score for US banks to aa- from aa, due to uncertainties surrounding interest rate hikes and impending regulatory alterations.

Moody's also ruffled feathers a fortnight ago by downgrading certain lenders and announcing a review of ratings for larger banks.

Among the casualties of S&P's downgrades on Tuesday were Associated Banc-Corp, which saw a decline of 4.23%, Comerica at 4.12%, KeyCorp at 4.13%, UMB Financial dipping 3.14%, and Valley National Bancorp dropping by 4.47%.

Elsewhere, graphics chip giant Nvidia fell 2.77% as the market took a cautious stance ahead of its second-quarter results scheduled for Wednesday.

Retail stocks were also in focus, with both Dick's Sporting Goods and Macy's reporting underwhelming earnings, causing their stocks to plummet by 24.15% and 14.05% respectively.

On the upside, Lowe's Companies jumped 3.75% after it presented mixed results, but reiterated its full-year guidance.

Reporting by Josh White for Sharecast.com.

Dow Jones - Risers

Boeing Co. (BA) $230.07 1.25% Apple Inc. (AAPL) $177.23 0.79% Verizon Communications Inc. (VZ) $33.24 0.61% Visa Inc. (V) $240.51 0.46% Walgreens Boots Alliance, Inc. (WBA) $26.54 0.38% Microsoft Corp. (MSFT) $322.46 0.18% Home Depot Inc. (HD) $324.38 0.13% McDonald's Corp. (MCD) $280.30 0.10% Procter & Gamble Co. (PG) $151.83 0.04% Cisco Systems Inc. (CSCO) $55.46 0.04%

Dow Jones - Fallers

Merck & Co. Inc. (MRK) $107.22 -2.20% JP Morgan Chase & Co. (JPM) $146.38 -2.07% Nike Inc. (NKE) $101.46 -1.36% Amgen Inc. (AMGN) $257.62 -1.18% American Express Co. (AXP) $159.01 -1.12% Salesforce.Com Inc. (CRM) $206.76 -1.09% Unitedhealth Group Inc. (UNH) $492.34 -1.07% Travelers Company Inc. (TRV) $159.93 -1.03% Goldman Sachs Group Inc. (GS) $319.16 -1.02% Caterpillar Inc. (CAT) $270.47 -0.93%

S&P 500 - Risers

Hasbro Inc (HAS) $67.71 7.05% International Flavors & Fragrances Inc. (IFF) $66.99 3.75% Lowe's Companies Inc. (LOW) $225.62 3.75% Align Technology Inc. (ALGN) $351.63 2.64% Medtronic Plc (MDT) $83.72 2.59% Paypal Holdings Inc (PYPL) $60.98 2.47% Ipg Photonics Corp. (IPGP) $101.49 2.40% Digital Realty Trust (DLR) $123.72 2.28% Hologic Inc. (HOLX) $76.86 2.17% Whirlpool Corp. (WHR) $136.00 2.08%

S&P 500 - Fallers

Sempra Energy (SRE) $71.36 -49.87% Copart Inc. (CPRT) $43.79 -49.66% Macy's Inc. (M) $12.66 -14.05% Kohls Corp. (KSS) $25.77 -10.35% Nordstrom Inc. (JWN) $17.20 -9.81% CenturyLink Inc. (LUMN) $1.51 -7.36% VF Corp. (VFC) $18.99 -6.88% Gap Inc. (GPS) $9.57 -6.73% Best Buy Co. Inc. (BBY) $74.23 -5.90% Regions Financial Corp. (RF) $18.43 -5.00%

Nasdaq 100 - Risers

Hasbro Inc (HAS) $67.71 7.05% Baidu Inc. (BIDU) $128.36 2.75% Align Technology Inc. (ALGN) $351.63 2.64% Paypal Holdings Inc (PYPL) $60.98 2.47% Hologic Inc. (HOLX) $76.86 2.17% Marriott International - Class A (MAR) $203.95 2.07% NetEase Inc. Ads (NTES) $101.86 1.45% Idexx Laboratories Inc. (IDXX) $488.35 1.32% Cognizant Technology Solutions Corp. (CTSH) $69.59 1.21% Netflix Inc. (NFLX) $413.17 1.20%

Nasdaq 100 - Fallers

Ulta Salon, Cosmetics & Fragrance Inc. (ULTA) $430.58 -3.87% Sirius XM Holdings Inc (SIRI) $4.27 -2.95% Nvidia Corp. (NVDA) $456.68 -2.77% Illumina Inc. (ILMN) $162.94 -2.67% Qurate Retail Inc. (QRTEA) $0.73 -2.40% Liberty Global plc Series C (LBTYK) $18.60 -2.21% American Airlines Group (AAL) $14.83 -2.18% Liberty Global plc Series A (LBTYA) $17.40 -2.14% Skyworks Solutions Inc. (SWKS) $105.27 -1.65% Charter Communications Inc. (CHTR) $413.38 -1.59%