US Stocks Move Lower in Early Trading After a 3-Day Rally

AP Photo by Richard Drew
In this March 5, 2019, file photo trader Gregory Rowe works on the floor of the New York Stock Exchange. The U.S. stock market opens at 9:30 a.m. EDT on Tuesday, April 2.

NEW YORK (AP) — U.S. stocks moved broadly lower on Wall Street in early trading on Tuesday, reversing course from a three-day rally.

Health care and consumer products companies led the market lower. Walgreens Boots Alliance plunged after it slashed its forecast following a weak quarter. Competitor CVS followed it lower.

Technology and financial stocks bucked the downward trend. Apple and Cisco both made gains. Ameriprise Financial rose 3.4%.

Dow Inc. rose 4.4% in its first day of trading after being spun off from chemical maker DowDuPont.

KEEPING SCORE: The Dow Jones Industrial Average fell 44 points, or 0.2% as of 10 a.m. The S&P 500 index fell 0.1% and the Nasdaq composite index fell 0.2%.

TAKE AN ASPIRIN: Walgreens had a headache of a quarter as insurers trimmed prescription costs, generic drug prices dropped and brand-name medication prices stalled.

Al those factors resulted in a 14% drop in second-quarter profit, which the company's CEO described as the most difficult quarter the nation's largest drugstore has faced since forming a few years ago.

Walgreens also slashed its forecast for 2019.

The stock fell 12% percent and helped push down key competitor CVS Health by 4%.

LIFTOFF: Delta rose 5% after raising its profit forecast for the current quarter. Other airlines also rose. United Continental rose 3% and American Airlines climbed 2%.

 

By AP reporter Damian J. Troise

 

Categories: Finance, National News, Today’s Business News