Dow And S&P 500 May Pull Back Further Off Record Highs

The major U.S. index futures are pointing to a modestly lower opening on Thursday following the mixed performance seen in the previous session.

The Dow and the S&P 500 may extend the downward move seen over the two previous sessions, pulling back further off the record closing highs set on Monday.

The tech-heavy Nasdaq could also give back ground as some traders look to cash in on yesterday’s gains among tech stocks.

After ending Tuesday’s trading mostly lower, stocks turned mixed over the course of the trading session on Wednesday. While the Nasdaq climbed firmly into positive territory, the Dow and the S&P 500 pulled back further off the record closing highs set on Monday.

The Nasdaq advanced 45.92 points or 0.7 percent to 6,233.95, while the Dow fell 57.11 points or 0.3 percent to 21,410.03 and the S&P 500 edged down 1.42 points or 0.1 percent to 2,435.61.

The mixed performance on Wall Street came as traders expressed some uncertainty about the near-term outlook for the markets following the recent record highs for the Dow and the S&P 500.

Traders also kept a close eye on the price of crude oil, which pulled back into bear territory in the previous session. Crude for August delivery tumbled to the lowest closing level for a front-month contract in over ten months.

Concerns about oversupply continued to weigh on oil prices despite the release of a report from the Energy Information Administration showing a bigger than expected weekly drop in crude oil inventories.

A separate report from the National Association of Realtors showed an unexpected rebound in existing home sales in the month of May.

NAR said existing home sales climbed by 1.1 percent to an annual rate of 5.62 million in May after tumbling by 2.5 percent to a downwardly revised 5.56 million in April.

The rebound surprised economists, who had expected existing home sales to edge down to an annual rate of 5.55 million in May from the 5.57 million originally reported for the previous month.

NAR chief economist…

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