Major Averages Posting Modest Losses In Early Trading

(RTTNews) - With traders cashing in on yesterday's rally, stocks have moved modestly lower in early trading on Thursday. The major averages have all dipped into negative territory, although selling pressure remains relatively subdued.

The early weakness on Wall Street is partly due to profit taking after the strong gains posted in the previous session lifted the Dow and the S&P 500 to new record closing highs.

The rally seen on Wednesday came on the heels of news that the Federal Reserve is reducing its asset purchase program by $10 billion per month beginning in January.

A batch of largely disappointing economic data may have raised concerns that the Fed's tapering decision might have been premature.

After bucking the uptrend seen on Wednesday, gold stocks are seeing some further downside in early trading. The NYSE Arca Gold Bugs Index has tumbled by 2.4 percent, falling to its lowest intraday level in five years. A steep drop by the price of gold is weighing on the sector.

Commercial real estate, oil service, and utilities stocks have also come under pressure, while most of the other major sectors are showing more modest moves.

The major averages have recently climbed off their lows for the session but remain in the red. The Dow is down 25.59 points or 0.2 percent at 16,142.38, the Nasdaq is down 14.98 points or 0.4 percent at 4,055.09 and the S&P 500 is down 6.20 points or 0.3 percent at 1,804.45.