NEW YORK: Blue-chip stocks posted a slight gain Thursday as most stocks finished lower after economic reports from the United States, China and the eurozone did little to curb concerns about the world economy.
“China is slowing and Europe I would argue is already in a recession,” said T. Doug Dale, chief investment officer of Security Ballew Wealth Management in Jackson, Miss.
“Any objective investor would understand what has been causing stock rallies is not fundamentals, but central bank intervention,” Dale said.
The Dow Jones industrial average closed up 18.97 points, or 0.1 percent, at 13,596.93, with Kraft Foods Inc. and Microsoft Corp. leading the rise.
The S&P 500 index shed 0.79 points, or less than 0.1 percent, to close at 1,460.26.
The Nasdaq composite index declined 6.66 points, or 0.2 percent, to close at 3,175.96.
“Nobody has a clear understanding of where the data is going to take us,” said Chip Cobb, portfolio manager at BMT Asset Management. “It’s a very benign recovery, and we all want it to be quicker, more sustainable and more defined, but the reality is we have a weak employment market and maybe a stabilization in the housing market,” he said.
“The bottom line is corporate America is still doing what it needs to do. It’s mean, lean and strong, and we have unbelievably better balance sheets than a couple of years ago,” Cobb added.
Norfolk Southern Corp. declined 9.1 percent after the rail carrier’s earnings forecast for the third quarter came in below Wall Street estimates.
On the New York Mercantile Exchange, oil futures fell 11 cents, or 0.1 percent, to $91.87 a barrel, while gold futures retreated $1.50, or 0.1 percent, to $1,770.20 an ounce.