Session of extreme moves leaves U.S. stocks mixed on Wednesday.
U.S. stocks traded mixed on Wednesday, as a selloff of energy and telecom shares was offset by sizable gains in technology and consumer staples.
The large-cap S&P 500 Index (NYSEARCA:SPY) finished flat at 2,629.67. Six of 11 sectors finished lower, with energy falling 1.3% as a whole. The S&P 500’s telecom index also fell 1%.
Materials, consumer discretionary, financials and healthcare rounded out the day’s losers.
On the opposite side of the spectrum, technology shares rebounded 0.8%, consumer staples rose 0.6% and utilities added 0.4%.
A strong performance in tech lifted the Nasdaq Composite Index (NYSEARCA:QQQ) 0.2% higher to settle at 6,776.38.
Meanwhile, the Dow Jones Industrial Average (NYSEARCA:DIA) fell 39.73 points, or 0.2%, to close at 24,140.91.
A measure of implied volatility known as the CBOE VIX (NYSEARCA:VXX) declined 2.7% on Wednesday to close at 11.02. That was the VIX’s second consecutive drop following a period of six consecutive gains.
Energy stocks came under pressure as oil prices fell in the wake of government data showing a large build in U.S. crude inventories. The U.S. Energy Information Administration (EIA) said crude inventories climbed by 5.6 million barrels in the week ended Dec. 1.
America’s private sector added 190,000 jobs in November, slightly ahead of analysts’ expectations of 185,000, ADP Inc. reported Wednesday. The private sector added 235,000 jobs in October.
The official jobs report will be released Friday morning. It is expected to show the addition of 198,000 nonfarm jobs in November.
The Final Word: Sector rotation was prevalent on Wednesday, as investors took profits earlier than expected. Market sentiment is generally buoyant during this time of year, which means additional gains are likely ahead of the holidays.