S&P 500 dips after its long winning streak

THE S&P 500 eased slightly yesterday after an eight-day run of gains, while the Nasdaq edged higher as Apple shares rebounded.

The index remained above 1,500, however, after closing above that level on Friday for the first time in more than five years. The S&P 500’s eight sessions of gains was its longest winning streak in eight years.

Caterpillar shares helped limit losses on the Dow industrials even as the company posted a 55 per cent drop in quarterly profit due to a charge connected with accounting fraud at a Chinese subsidiary and weak demand among its dealers. Caterpillar’s shares, down 2.2 per cent in the past three sessions, rose two per cent yesterday to $97.45.

“I think this multi-year high is really something that’s in play both for shorter-term traders and with folks with money on the sidelines,” said Bucky Hellwig, senior vice president at BB&T Wealth Management in Birmingham, Alabama.

Bargain hunters lifted Apple after the tech giant’s stock dropped 14.4 per cent in the previous two sessions. With Apple’s stock up 2.3 per cent at $449.83, the iPad and iPhone maker regained the title as the largest US company by market capitalisation as Exxon Mobil fell 0.7 per cent to $91.11 and slipped back to second place.

On the down side, Boeing fell 1.4 per cent to $74 on worries about the potential hit from delays in its 787 Dreamliner programme.

The Dow Jones industrial average was down 14.05 points, or 0.10 per cent, at 13,881.93. The Standard & Poor’s 500 Index was down 2.78 points, or 0.18 per cent, at 1,500.18. The Nasdaq Composite Index was up 4.59 points, or 0.15 per cent, at 3,154.30.