US stocks slip again as Wall Street’s rally loses steam
NEW YORK (AP) — U.S. stock indexes drifted lower on Wednesday as a seemingly relentless rally on Wall Street takes at least a pause.
The S&P 500 slipped 0.3% for a second straight, modest loss. The Dow Jones Industrial Average dropped 171 points, or 0.4%, and the Nasdaq composite fell 0.4%. All three are still near their all-time highs, which were set on Monday.
It’s a slowdown following the U.S. stock market’s blistering run since hitting a low in April, fueled by hopes that President Donald Trump’s tariffs won’t derail global trade and that the Federal Reserve will cut interest rates several times to boost the U.S. economy. The rally was so big that it raised concerns about stock prices shooting too high and becoming too expensive, particularly if the Fed does not deliver as many cuts to rates as traders expect.
Demonstrating the weight of high expectations, Micron Technology’s stock fell 2.8% even though it reported a better profit and revenue for the latest quarter than analysts expected. The computer memory company also gave a forecast for profit in the current quarter that blew past analysts’ expectations.
Typically, such a performance would send a stock higher. But Micron’s stock came into the day with an atypical, stunning gain of 97.7% for the year so far.