Stocks dipped on Wednesday, with technology shares falling as a blowout quarter from Apple failed to entice more buying after Wall Street's best day since March.
Results from the iPhone and iPad maker followed similarly strong numbers from IBM and Coca-Cola that showed U.S. companies were faring well despite the economic soft patch.
Still, Apple's quarterly report could not offset losses on the Nasdaq, which was dragged lower after lackluster results from Yahoo Inc
The action in the U.S. is very choppy this morning, not much follow-through from the earnings, said David Joy, chief market strategist at Ameriprise Financial.
The Dow Jones industrial average <.DJI> slipped 24.71 points, or 0.20 percent, at 12,562.71. The Standard & Poor's 500 Index <.SPX> was down 1.56 points, or 0.12 percent, at 1,325.17. The Nasdaq Composite Index <.IXIC> took off 16.15 points, or 0.57 percent, at 2,810.37. Sovereign debt problems in Europe and a drawn-put political battle to increase the U.S. debt ceiling and avoid default has been a drag on stocks. On Tuesday, there was progress toward a $3.75 billion U.S. budget deal, lifting shares late, but a final resolution will still be difficult.
Sales of previously owned homes unexpectedly fell to a seven-month low in June as cancellations of pending contracts surged, according to the National Association of Realtors.
With earnings season in full swing, Dow component United Technologies Inc
Textron rose 8.5 percent to $24, while United Tech sank 3 percent to $86.12.
Earnings continue to exceed expectations, and the positive momentum is still there, said Phil Flynn, senior market analyst with PFG Best in Chicago, who added that the S&P was poised to top its 2011 high, reached in April.
Internet media company Yahoo lost 7.1 percent to $13.55 a day after reporting a decline in second-quarter revenue.
Boeing, a Dow component, surged 3 percent to $72.60 on news it will get nearly one-half of the total order.
Also, Ecolab Co
(Editing by Jeffrey Benkoe)