Stocks Turn Lower; Dow Down 26.08
NEW YORK (AP) _ Stocks turned modestly lower Tuesday as an earnings warning from Gillette put the brakes on Monday’s rally.
At 11 a.m. on Wall Street, the Dow Jones industrial average was down 26.08 at 9,981.25.
Broader stock indicators were mostly lower as well. The Standard & Poor’s 500 index was down 6.30 at 1,314.82, and the technology-heavy Nasdaq composite index was down 6.34 at 2,553.72.
On Monday, the blue-chip index rose 174.82 points to close at 10,007.33, a new record that marked the Dow’s second finish above 10,000. The Nasdaq and S&P 500 indexes also set new records, sustained by a rally in Internet stocks.
Gillette, which said first-quarter profits will probably not meet Wall Street analysts’ expectations, fell 7 1/4 today to 50 1/2. The company’s announcement sobered traders who had bid stocks higher Monday on expectations of strong first-quarter results.
Gillette’s news also hurt other consumer products companies. Procter & Gamble, a component of the Dow, fell 1 9/16 to 99 5/16.
Today, IBM rose as the company unveiled a new version of its Web server, which allows companies to provide faster service on the Internet. IBM was up 1 5/8 at 185 9/16.
Declining issues outnumbered advancers by a 4-to-3 margin on the New York Stock Exchange, where volume came to 233.4 million shares, slightly ahead of Monday’s pace.
The NYSE composite index was off 0.96 at 613.67, and the American Stock Exchange composite index was down 3.20 at 718.04.