 "Photo: Reuters")
Apple became the first US company to top $1 trillion in market value on Thursday, leading a rebound in technology stocks that helped Wall Street pare losses and turned the Nasdaq positive.
Market sentiment was also lifted by Commerce Secretary Wilbur Ross's comment, who said the tariffs that United States is threatening to impose on Chinese goods would not be disastrous for the Asian nation.
"It's not something that's going to be cataclysmic," he said in an interview with Fox Business Network, explaining that a 25 per cent tariff on $200 billion worth of goods would equal to less than 1 per cent of China's economy.
Technology stocks, which were trading lower earlier in the session, rose 0.4 per cent.
Apple hit a record high of $207.05, crowning a decade-long rise fueled by its ubiquitous iPhone that transformed it from a niche player in personal computers into a global powerhouse spanning entertainment and communications.
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"There's a dichotomy on whether the tech run is going to continue," said Cliff Hodge, director of investments for Cornerstone Wealth in Charlotte, North Carolina.
"The tariffs are not enough to derail the US economy that is firing on all cylinders."
The trade-sensitive industrial sector fell 0.38 per cent. Caterpillar, Boeing and 3M fell more than 1 per cent and weighed on the bluechip Dow Jones Industrial Average.
Financials fell 0.5 per cent, the biggest drag on the S&P 500, as 10-year US Treasury yields eased.
The Federal Reserve kept interest rates unchanged on Wednesday, but characterized the economy as strong, keeping the central bank on track to increase borrowing costs in September.
At 11:23 a.m. EDT the Dow Jones Industrial Average was down 120.33 points, or 0.47 per cent, at 25,213.49, the S&P 500 was down 1.84 points, or 0.07 per cent, at 2,811.52 and the Nasdaq Composite was up 23.95 points, or 0.31 per cent, at 7,731.24.
The materials group fell 1.2 per cent as prices of copper and other base metals slipped. Eight of the 11 major S&P sectors were lower.
Tesla jumped 9.5 per cent after the electric car maker convinced investors that it was able to produce positive cash flow and turn a profit.
DowDuPont fell 3.1 per cent after the chemical producer said it expects higher raw material costs to hit all its units for the rest of the year.
Shares of TripAdvisor and Cognizant slipped 14.4 per cent and 6.8 per cent after their earnings failed to impress investors.
Declining issues outnumbered advancers for a 1.01-to-1 ratio on the NYSE. Advancing issues outnumbered decliners for a 1.07-to-1 ratio on the Nasdaq.
The S&P index recorded 10 new 52-week highs and five new lows, while the Nasdaq recorded 59 new highs and 65 new lows.
