NEW YORK: Wall Street stocks dipped early Wednesday as markets weighed concerns about US monetary policy and the need for a pullback after a buoyant first quarter.
“After a very strong rally for five straight months, we had a big jump to new all time highs,” said Adam Sarhan of 50 Park Investments.
“It’s perfectly normal and healthy to see some profit taking come in. And that’s what’s happening now,” said Sarhan, who also pointed to expectations that any Federal Reserve interest rate cuts in 2024 will come later than first thought.
About 25 minutes into trading, the Dow Jones Industrial Average was essentially flat at 39,179.44.
Wall Street retreats as higher yields, Tesla dampen sentiment
The broad-based S&P 500 slipped less than 0.1 percent to 5,203.92, while the tech-rich Nasdaq Composite Index dropped 0.3 percent to 16,193.82.
Data from private payroll firm ADP showed US companies hired 184,000 people last month, comfortably beating estimates.
The report is the latest to show solid US growth and inflation, dimming expectations for an imminent pivot by the Fed.
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