RTTNews - Stocks moved lower at the start of trading on Tuesday, with the major averages seeing some further downside after ending the previous moderately lower. Traders have continued to cash in on recent gains amid a lack of significant news.
While selling pressure has remained somewhat subdued, banking stocks are seeing notable weakness in early trading. Railroad, housing, and commercial real estate stocks are also extending the downward moves that were seen on Monday.
In economic news, the Labor Department released a report showing a jump in labor productivity in the second quarter, although the growth came as hours worked fell at a faster pace than output
The report showed that productivity increased by 6.4 percent in the second quarter compared to a downwardly revised 0.3 percent increase in the first quarter. The increase, which exceeded economist estimates, came as hours worked fell at a faster pace than output.
Meanwhile, the Labor Department also said that unit labor costs fell by 5.8 percent in the second quarter following a revised 2.7 percent decrease in the first quarter. The steep drop in costs exceeded the expectations of economists, who had expected a 2.5 percent drop.
On the corporate front, Fluor (FLR) reported its second quarter results after the close of trading on Monday, reporting earnings that fell year-over-year but came in above analyst estimates. At the same time, the company's sales came in well below expectations.
In the past few minutes, the major averages have moved off their lows for the young session, although they currently remain stuck in the red. The Dow is currently down 36.04 at 9,301.91, the Nasdaq is down 7.16 at 1,985.08 and the S&P 500 is down 3.98 at 1,003.12.
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