Stocks close mixed as Dow breaks 7-day winning streak, tech gains

Stocks closed mixed Wednesday as the Dow broke a seven-day winning streak and a rebound in oil prices stalled.

The Dow Jones industrial average fell 54.92, or 0.3%, to 18,868.14 after closing at a record high for the past 4 sessions. The Standard & Poor's 500 index dropped 0.2% to 2176.94. But technology companies advanced as they continued a rally from a day earlier and the Nasdaq composite index rose 0.4% to 5294.58.

In the week since Donald Trump’s victory, stock markets have rallied as investors hoped his presidency would augur in a period of more government spending on such things as infrastructure. However, there’s a growing sense that Trump’s policies may lead to higher inflation and interest rates. That’s been particularly notable in the bond markets, where yields have gone up, a development that’s seen the dollar in the ascendant.

The yield on the 10-year Treasury note was unchanged at 2.22%.

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Oil prices retreated slightly, snapping an overnight rally as U.S. benchmark crude lost  0.6% to $45.57 a barrel after jumping 5.7% Tuesday.

Global stock markets were mixed on Wednesday as investors awaited more policy details from U.S. president-elect Donald Trump. Oil prices retreated, snapping an overnight rally.

European markets fell as Britain’s FTSE 100 dropped 0.6%. Germany’s DAX lost 0.7% and France’s CAC 40 dropped 0.8%.

Asian markets finished mostly higher. Japan’s Nikkei jumped 1.1% and South Korea’s Kospi gained 0.6%. Hong Kong’s Hang Seng index closed 0.2%, while China’s Shanghai Composite Index edged 0.1%.

“International markets showed signs of pausing to wait on evidence of policy specifics before extending moves in the direction of the ‘Trump themes’ of fiscal stimulus and inflation,” Ric Spooner, chief market analyst at CMC Markets, said in a daily commentary.

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The ICE U.S. Dollar Index, which measures the dollar against six other currencies, rose to 100.38, its highest level since April of 2003. The dollar is rising in part because investors think the Federal Reserve will raise interest rates at a faster pace in response to inflation stemming from the increased spending that President-elect Donald Trump has proposed.

A stronger dollar hurts U.S. companies that do a lot of business overseas because it makes their products more expensive, and it affects their earnings when they are translated from other currencies back into U.S. dollars. However it makes imported goods cheaper for consumers in the U.S.

The dollar slipped 109.20 Japanese yen from 109.32 yen late Tuesday. The euro slid to $1.0695 from $1.0718.