Dow Posts Modest Loss, Pulling Back Off Record Highs

(RTTNews) - While selling pressure was somewhat subdued, stocks moved mostly lower over the course of the trading day on Wednesday. A negative reaction to some earnings news contributed to the weakness on Wall Street along with lingering concerns about the outlook for the Federal Reserve's stimulus program.

Gold stocks showed a substantial move to the downside over the course of the trading day, dragging the NYSE Arca Gold Bugs Index down by 4.9 percent. The loss by the index came after it ended the previous session at its best closing level in over a month.

A notable decrease by the price of gold contributed to the pullback by the sector, with gold for August delivery sliding $15 to $1,319.70 an ounce.

Significant weakness also emerged among housing stocks, which came under pressure despite the upbeat new home sales report. The Philadelphia Housing Sector Index tumbled by 2.6 percent amid steep losses by Toll Brothers (TOL) and MDC Holdings (MDC).

Commercial real estate stocks also saw significant weakness on the day, resulting in a 2.1 percent drop by the Morgan Stanley REIT Index.

Semiconductor, railroad, and steel stocks also came under pressure, moving to the downside along with most of the other major sectors.

After ending the previous session at a record closing high, the Dow edged down 25.50 points or 0.2 percent to 15,542.24. The S&P 500 also fell 6.45 points or 0.4 percent to 1,685.94, while the Nasdaq inched up 0.33 points or less than a tenth of a percent to 3,579.60.