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27-04-17, 05:37 #1
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Wall Street Slips as Trump Unveils Tax Plan
U.S. equities retreated as investors priced in President Donald Trump's plan for tax reform, while earnings season carried on. The proposal from the Trump administration reduced tax rates for businesses and on overseas corporate profits returned to the country.
The Dow Jones industrial average slipped 0.1 percent at 20,975.09, as Procter & Gamble led losses while Verizon outperformed. The S&P 500 fell 0.05 percent at 2,387.45, with real estate leading seven sectors down and telecommunication the top gainer. The Nasdaq composite lost 0.27 points to end at 6,025.23.
The S&P 500 dropped marginally after wavering near an all-time peak. Expectations for lower corporate taxes have been an advantage for stocks ever since Trump was elected in November.
Retail stocks jumped on Trump's announcement, as it revealed that it did not include a border adjustment tax. The SPDR S&P Retail ETF (XRT) climbed one percent.
Among stocks, United Technologies climbed 1.1 percent to $118.20 and gave the largest lift to the Dow industrials after posting a quarterly profit that exceeded expectations supported by higher sales in all four of its business units. Shares of Boeing lost almost one percent to $181.71 after the planemaker posted a decline in revenue.
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