Stocks dip on Wall Street as global rally fades, led by tech

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Wall Street stumbled on Thursday after a report showed layoffs continue to sweep the country at a stubbornly steady pace.

Drops for Microsoft and other tech titans also weighed heavily because they’re the largest stocks in the index. They also sent the Nasdaq composite, which set a record last week, to a larger loss than other indexes. It fell 76.66, or 0.7%, to 10,473.83. The Dow Jones Industrial Average lost 135.39 points, or 0.5%, to 26,734.71.

Pushing stocks higher have been signs of strengthening in the economy as lockdowns have eased, along with massive aid from the Federal Reserve and Congress. Hopes for a potential COVID-19 vaccine also helped the S&P 500 erase most of an earlier 34% drop from its record, down to 5%. Worries are already high about joblessness, as $600 in weekly unemployment benefits provided by the federal government is set to expire this month.But other reports painted a less discouraging picture. Sales at stores and online retailers grew more strongly last month than economists expected, particularly for clothing. It’s the second straight month of growth for retail sales following April’s plummet.

Microsoft fell 2%, and Apple lost 1.2%. It’s a rare step back for the giants, which are both still up roughly 30% for 2020 on expectations that they can keep growing almost regardless of the pandemic.

 

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