U.S. stocks slipped on Wednesday, a day after Wall Street's best gains in a month, as uninspiring earnings from tech bellwethers IBM
Chesapeake Energy Corp
The stock fell as low as $17.17, its lowest since July 2009.
International Business Machines Corp and Intel Corp ranked among the biggest drags on the Dow. IBM missed its revenue forecast, while investors said Intel's results failed to make a bull case for the stock. IBM shares slipped 3.5 percent to $200.13 while Intel shares fell 1.8 percent to $27.95. The PHLX semiconductor index <.SOX> dropped 0.9 percent.
The lackluster reports from the two technology heavyweights came at the start of what has so far been a strong earnings season.
On Tuesday, the S&P 500 had its best day in a month as Coca-Cola Co
Both Intel and IBM have led to some profit-taking today, with both companies posting decent reports, but disappointing investors for different reasons, said Michael Sheldon, chief market strategist at RDM Financial in Westport, Connecticut.
If you want to be an optimist, you could point to the fact that the market didn't sell off all that much, given the solid advance we saw yesterday.
The Dow Jones industrial average <.DJI> dropped 82.79 points, or 0.63 percent, to close at 13,032.75. The Standard & Poor's 500 Index <.SPX> shed 5.64 points, or 0.41 percent, to 1,385.14. The Nasdaq Composite Index <.IXIC> slipped 11.37 points, or 0.37 percent, to 3,031.45.
After the closing bell, shares of Qualcomm
In contrast, shares of eBay
Bruce Bittles, chief investment strategist of Robert W. Baird & Co in Nashville, Tennessee, expects the market to continue its back-and-forth moves, possibly trending lower in the second quarter after strong gains earlier in the year.
A consolidation or correction phase in the second quarter would make the most sense, and probably it would be the most healthy thing for the market, he said.
In the regular session, among other declining stocks were Berkshire Hathaway Inc's Class B shares
A bright spot in the tech space, Yahoo Inc
Eighty percent of S&P 500 companies are beating earnings estimates so far, with results in from 66 companies.
Other advancers included Halliburton Co
In contrast, shares of Genworth Financial Inc
Volume was lighter than average, with about 5.95 billion shares traded on the New York Stock Exchange, the American Stock Exchange and Nasdaq, below this year's daily average of 6.67 billion.
Decliners outnumbered advancers on the NYSE by a ratio of about 2 to 1, and on the Nasdaq, by about 17 to 7.
(Reporting by Caroline Valetkevitch; Additional reporting by Edward Krudy; Editing by Jan Paschal)