Share

US stocks decline on reports of tax cut opposition

New York - Wall Street stocks retreated on Thursday as reports of congressional opposition to the tax cut plan and worries about lofty equity valuations ended the Dow's run of records.

Reports that Senator Marco Rubio, a Florida Republican, could vote against the final tax cut package revived worries about the long-anticipated plan.

The Senate approved its version of the measure by just two votes including Rubio's, leaving President Donald Trump's party little margin to lose support.

"The market is nervous because of the disorganized political situation," said Phil Davis of PSW Investments.

The Dow Jones Industrial Average finished down 0.3% at 24 508.66, ending a four-day streak of records.

The broad-based S&P 500 shed 0.4% to end at 2.652.01, while the tech-rich Nasdaq Composite Index lost 0.1% at 6.856.53.

Analysts also have questioned the ability of the market to keep pushing higher after already achieving a series of records.

Those concerns offset a solid 0.8% rise in US retail sales in November over October, reflecting the early part of the holiday shopping season. Data also showed further tightening in the US labour market.

Twenty-First Century Fox jumped 6.5% after announcing it reached a deal to sell most of its key film and television assets to Disney for $52.4bn. Dow member Disney also gained, winning 2.7%.

Teva Pharmaceuticals Industries surged 10.1% after announcing it plans to cut 14.000 jobs globally in a massive restructuring amid lower prices for generic drugs and debt problems.

Delta Air Lines gained 3.0% as it projected an operating profit margin of 11% for the fourth quarter.
The airline also announced it ordered 100 Airbus planes with an option to buy 100 more.

* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER
We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.88
+0.3%
Rand - Pound
23.86
+0.2%
Rand - Euro
20.39
+0.2%
Rand - Aus dollar
12.31
+0.2%
Rand - Yen
0.12
+0.2%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders