U.S. stocks fell on Thursday as a stronger dollar weighed on commodity-linked shares and a guarded outlook from Wal-Mart Stores Inc
The market declined from 13-month highs hit on Wednesday and threatened to snap a six-day streak of higher closes by the Dow industrials.
The dollar rose against other major currencies <.DXY>, bolstered by a report showing initial U.S. weekly jobless claims had fallen to their lowest level since January.
The greenback's rise weighed on dollar-denominated commodities, including crude oil futures, which fell 2.7 percent. The S&P integrated oil and gas index <.GSPOILI> fell 1.4 percent, with shares of Chevron Corp
As the S&P 500 has gone above 1,100, it has had a hard time holding on to gains, said Quincy Krosby, market strategist at Prudential Financial in Shelton, Connecticut.
In order to get to the next level up, it does need a strong catalyst, and most of the time the stronger dollar has been a negative for the market.
The Dow Jones industrial average <.DJI> lost 25 points, or 0.58 percent, to 10,232.01. The Standard & Poor's 500 Index <.SPX> dropped 7.35 points, or 0.67 percent, to 1,091.16. The Nasdaq Composite Index <.IXIC> fell 9.90 points, or 0.46 percent, to 2,157.00.
Wal-Mart, the world's largest retailer, reported a higher quarterly profit and its shares rose 0.6 percent to $53.30, but it forecast earnings for the key holiday quarter that could miss Wall Street's consensus estimate.
Concern about consumer spending weighed on the S&P retail index <.RLX>, which fell 0.4 percent.
Advance Micro Systems Inc
Network equipment maker 3Com Corp
Shares of Brocade Communications Systems Inc
(Editing by Kenneth Barry)