U.S. equities finished slightly lower on Wednesday amid quiet pre-holiday trading. While the Dow looks ready to cross the 20,000 any second now, the bulls just haven’t been able to get the deed done despite a week of trying.
In the end, the Dow Jones Industrial Average lost 0.2%, the S&P 500 lost 0.3%, the Nasdaq Composite lost 0.3% and the Russell 2000 lost 0.6%. Treasury bonds were stronger, the dollar was weaker, gold was little changed and oil finished down 1.5% on inventory data.
Emerging market stocks continued their recent bout of weakness, pushing the ProShares UltraShort Emerging Markets (NYSEARCA:EEV) up 0.8% for Edge subscribers. Energy stocks led the way with a 0.2% gain while REITs were the laggards, down 1.3%.
Yelp Inc (NYSE:YELP) rose 4.3% after analysts at RBC highlighted the stock as the number one small-cap long for 2017 citing positive results from a consumer survey and online checks showing improved user engagement. Nike Inc (NYSE:NKE) gained 1% on a fiscal second-quarter earnings beat with a focus on expense control and commentary about a rebound in North America profit margins.
Twitter Inc (NYSE:TWTR) fell 4.7% on executive departures. And FedEx Corporation (NYSE:FDX) fell 3.3% on a fiscal Q2 earnings miss as Ground profit margins were pressured by increased investments.
On the economic front, existing home sales rose 0.7% month-over-month and 15.4% from last year to a 5.61 seasonally-adjusted annualized rate. This not only beat expectations for a 5.6 million rate but it was the fastest pace since February 2007.
Looking ahead, Thursday and Friday will feature a batch of economic data including personal income and outlays, durable goods orders, and new home sales before Wall Street takes a long holiday weekend.
Anthony Mirhaydari is founder of the Edge and Edge Pro investment advisory newsletters. A two-week and four-week free trial offer has been extended to InvestorPlace readers.
