U.S. stocks moved slightly lower amid declines in the healthcare and biotech sectors. The Dow Jones Industrial Average fell 13.43 points, or 0.08%, to trade at 17,217.11. The Standard and Poor’s 500 index declined 2.89 points, or 0.14%, to trade at 2,030.77 and the Nasdaq Composite moved 0.5% lower to trade at 4,880.97. The S&P’s healthcare sector suffered a 1.6% decline as major index components Allergan (N:AGN_pa) and Pfizer (N:PFE) pull the sector down. IBM (N:IBM) was also hit, countering a number of strong quarterly reports from the likes of Verizon (N:VZ) and United Technologies (N:UTX). Overall, companies trading under the S&P 500 index are expected to post a nearly 4% decline in third-quarter profits, while revenue is expected to fall 3.8%, according to independent analysts. Traders will likely remain concerned over the next few quarters as revenues fall.
At the same time, housing data helped benchmark 10-year treasury yields rise to 2.079%, a weekly high. The U.S. Commerce Department has recently revealed that U.S. housing starts have increased by 6.5% during the month of September to a seasonally adjusted rate of around 1.2 million housing units, beating the 1.15 million expectations, as polled by Reuters.
Oil prices moved slightly lower after losing hold over some modest gains in the earlier part of the trading session. Brent crude was last seen fown 29 cents, or 0.6%, to trade at $48.32 a barrel and U.S. crude fell 62 cents, or 1.25%, to trade at $45.27 a barrel. The euro regained some ground against the U.S. dollar after posting declines for three straight sessions as a number of economic data releases compliment the Eurozone. Furthermore, remarks from a top official in the European Central Bank (ECB) have hinted at a further expansion of the current stimulus programs in place, though this may not happen immediately, lowering expectations from the ECB meeting. The euro was last seen 0.11% higher against the greenback, trading at $1.1341. The dollar index, which compares the U.S. dollar with six of its major currency peers, has remained flat at around 94.921. The dollar’s weakness supported gold, which climbed $3.93, or 0.34%, to trade at $1,174.23 per ounce.
In economic data releases, Japan will post its balance of trade and year-over-year exports data. The European Central Bank will hold a meeting on Thursday, announcing any changes to interest rates. However, judging by the central bank’s recent remarks, changes in policy are not likely.