By Kimberly Chin
NEW YORK (Reuters) - U.S. stocks clawed back losses late on Wednesday as investors appeared to brush off geopolitical concerns after falling in the wake of U.S. President Donald Trump's "fire and fury" warning to North Korea.
Bargain-seeking investors instead turned their focus to strength in the global economy and earnings toward the end of an active trading day.
"It's amazing when you consider the headlines just how calm the equity markets are, how they've taken things in their stride," said Ryan Detrick, senior market strategist at LPL Financial in Charlotte, North Carolina.
"There was some skittishness earlier but then some buyers stepped in," he said.
Investors had rushed to safe-haven assets after strongly worded exchanges between Washington and nuclear-armed North Korea late on Tuesday. U.S. Secretary of State Rex Tillerson said he did not believe there was an imminent threat.
"You'd need to see something more tangible than just rhetoric for a broader pullback," said Richard Steinberg, managing director at HSW Advisors, a finance team within HighTower Advisors, in New York.
After a dip of as much as 0.52 percent earlier in the day, Wall Street's three major indexes bounced off intraday lows.
The Dow Jones Industrial Average <.DJI> fell 36.64 points, or 0.17 percent, to end at 22,048.7, the S&P 500 <.SPX> lost 0.9 point, or 0.04 percent, to 2,474.02 and the Nasdaq Composite <.IXIC> dropped 18.13 points, or 0.28 percent, to 6,352.33.
While gold >, a safe-haven favourite, pared some gains, it was last up 1.2 percent, at around its highest since mid-June. The Swiss franc > and the Japanese yen > also rose.
Politics lifted U.S. defence stocks. Lockheed Martin
The CBOE Volatility Index <.VIX>, the most widely followed barometer of expected near-term stock market volatility, ended at a session low of 11.11 after rising as high as 12.63.
Six of the S&P 500 sectors ended higher. The consumer discretionary index <.SPLRCD> was one of its biggest losers with a 0.47 percent drop. Its biggest drags were Priceline
Disney shares closed down 3.9 percent as investors were skeptical of its plan to launch streaming services rather than rely on Netflix
Travel website operator Priceline Group Inc
After the bell, Twenty-First Century Fox
Declining issues outnumbered advancing ones on the NYSE by a 2.29-to-1 ratio; on Nasdaq, a 2.47-to-1 ratio favoured decliners.
About 6.48 billion shares changed hands on U.S. exchanges on Wednesday compared with the 6.16 billion average for the last 20 sessions.
(Additional reporting by Sinead Carew, Tanya Agrawal and Sruthi Shanker; Editing by Nick Zieminski and James Dalgleish)
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
