US Stocks May Fall as Traders Consider Profit Taking

By Investors Hub

Stocks futures are pointing to a mild dip at the start of Wednesday’s session, as traders book some of their profits from the recent surge in stock prices. Wall Street is considering new economic data, as well as earnings from the likes of AMD (AMD) and AT&T (T).

U.S. stocks continued their recent upward momentum on Tuesday. The Dow Jones Industrial Average set another new record high after strong earnings from heavy-hitters Caterpillar (CAT) and 3M (MMM). Markets have been gaining ground recently, helped by low interest rates and promises of U.S. tax reform from the Trump administration.

The Dow Jones Industrial Average rose 174 points, or 0.8%, to 23,447. The S&P 500 was up 3.5 points, or 0.1%, to 2,568. The Nasdaq Composite rose 13 points, or 0.2%, to 6,599.

AT&T Inc. (T) is among the big names that will move on earnings news today. The company reported a third-quarter profit that dropped from a year ago, as revenues fell short of expectations. Earnings for the company also failed to meet Wall Street estimates.

The telecom giant’s third-quarter profit declined to $3.0 billion or $0.49 per share from $3.3 billion or $0.54 per share last year. Excluding special items, adjusted earnings were $0.74 per share. On average, 23 analysts polled by Thomson Reuters expected earnings of $0.75 per share for the quarter.