US stocks edge lower as dollar rallies for fifth day

Bloomberg

US stocks edged lower as investors struggled to find inspiration after a torrid start to the year. The dollar rallied for a fifth day.
The S&P 500 Index fell 0.1 percent. Equities opened lower amid a lack of progress on the US-China trade deal before briefly erasing losses on home-sales and service-industries data that beat estimates. General Electric Co. tumbled after its chief executive officer forecast negative industrial free cash flow this year. Target Corp. and Kohl’s Corp. buoyed consumer shares on the back of solid earnings.
“The market has priced in a lot of good news and I think now the fact that returns are moderating some is a reflection of now they need to see the follow-through,” Michael Arone, chief investment strategist at State Street Global Advisors, said in an interview at Bloomberg’s New York headquarters. “They need to see the specifics on that US-China trade deal and they need more assurances that the Fed isn’t going to change track again.”
Investors are hungry for concrete details about progress on a US-China trade deal before they push a global equities rally further, leaving the S&P 500 Index seemingly stuck below the key 2,800 level. Trade and slowing growth are on the agenda as China’s most powerful officials gather in Beijing for the National People’s Congress, while investors will get the latest read on the US economy with the monthly jobs report.
Elsewhere, European shares ended slightly higher, while equities in Japan, Korea and Australia slumped after China lowered its target for economic growth. Indian stocks recouped early losses made after the US moved to end key trade concessions for New Delhi.

Stocks
The S&P 500 fell 0.1 percent as of the close in New York, while the Nasdaq 100 Index rose 0.1 percent.
The Stoxx Europe 600 Index rose 0.2 percent. The MSCI Emerging Market Index climbed 0.2 percent and the MSCI Asia Pacific Index sank 0.2 percent.

Currencies
The Bloomberg Dollar Spot Index increased 0.2 percent, its fifth straight advance. The euro fell 0.3 percent to $1.1306, the weakest in more than two weeks and the British pound was little changed at $1.3176. The Japanese yen decreased 0.1 percent to 111.87 per dollar.

Bonds
The yield on 10-year Treasuries was little changed at 2.72 percent. Germany’s 10-year yield climbed one basis point to 0.17 percent, while Britain’s 10-year yield rose less than one basis point to 1.28 percent.

Commodities
West Texas Intermediate crude was little changed at $56.61 a barrel. Gold added 0.1 percent to $1,287.73 an ounce, reaching a six-week low.

India Stocks Extend Winning Streak; Energy Companies Advance
India stocks rose as investors focused on local events amid easing cross-border tensions.
The S&P BSE Sensex climbed for a third session, rising 0.5 percent to 36,636.10 in Mumbai. Stocks rallied, led by buying in mid- and small-sized companies. The NSE Nifty 50 Index advanced 0.6 percent on Wednesday.
“The buying spree in mid- and small-cap companies is likely to continue as valuations continue to be extremely attractive,” said Chokkalingam G, managing director of Equinomics Research & Advisory Pvt. in Mumbai.
All but one of 19 sector indexes compiled by BSE Ltd. gained, led by a gauge of energy companies.
Reliance Industries Ltd. gave the biggest boost to the benchmark gauge. Edelweiss Financial Services Ltd. climbed 6 percent after Canadian fund CDPQ agreed to invest $250 million in its non-bank finance unit.
Dewan Housing Finance Corp Ltd. surged 11.1 percent following a filing by an independent auditor on allegations made by news portal Cobrapost.