WASHINGTON (dpa-AFX) - With some traders getting a head start on the Christmas holiday, stocks showed a lack of direction over the course of the trading session on Tuesday. The major averages bounced back and forth across the unchanged line, although the tech-heavy Nasdaq still crept up to a new record closing high.
The major averages finished the abbreviated session on opposite sides of the unchanged line. While the Nasdaq inched up 7.24 points or 0.1 percent to 8,952.88, the Dow dipped 36.08 points or 0.1 percent to 28,515.45 and the S&P 500 edged down 0.63 points or less than a tenth of a percent to 3,223.38.
The choppy trading on Wall Street comes as many traders were away from their desks, as the markets will remain closed on Wednesday.
A lack of major U.S. economic data also kept traders on the sidelines along with the early close for the markets.
Nonetheless, stocks largely held on to recent gains following the upward move to new record highs seen over the past several days.
Traders continue to express optimism about the U.S. and China signing a recently announced agreement on a phase one trade deal
The phase one trade deal is expected to ease the trade war between the U.S. and China, although details remain light and some tariffs will remain in place.
Traders may also be wary of missing out on any further upside, as stocks typically move higher going into the end of the year amid a so-called Santa Claus rally.
Most of the major sectors ended the day showing only modest moves, contributing to the lackluster close by the broader markets.
Gold stocks showed a substantial move to the upside, however, with the NYSE Arca Gold Bugs Index surging up by 3.5 percent to its best closing level since early September.
The rally by gold stocks came amid a sharp increase by the price of the precious metal, as gold for February delivery jumped $16.10 to $1,504.80 an ounce.
Biotechnology and tobacco stocks also saw some strength on the day, although buying interest was relatively subdued.
Other Markets
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Tuesday. Japan's Nikkei 225 Index closed just above the unchanged line, while Hong Kong's Hang Seng Index dipped by 0.2 percent.
The major European markets also turned in a lackluster performance on the day. While the German DAX Index edged down by 0.1 percent, the French CAC 40 Index closed nearly flat and the U.K.'s FTSE 100 Index inched up by 0.1 percent.
In the bond market, treasuries have moved modestly higher after a five-year note auction attracted above average demand. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, has fallen by 2.5 basis points at 1.910 percent.
Looking Ahead
Following the holiday on Wednesday, trading activity is likely to remain relatively subdued on Thursday, although a report on weekly jobless claims may attract some attention.
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