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US STOCKS-Wall Street drops as turmoil in Washington outweighs trade optimism

Published 26/09/2019, 15:27
© Reuters.  US STOCKS-Wall Street drops as turmoil in Washington outweighs trade optimism
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(For a live blog on the U.S. stock market, click LIVE/ or

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* Trump sought foreign meddling in 2020 election - Report

* Beyond Meat shares surge on McDonald's tie-up

* Facebook dips on report of antitrust investigation

* Indexes down: Dow 0.04%, S&P 0.23%, Nasdaq 0.48%

(Updates to open)

By Ambar Warrick and Medha Singh

Sept 26 (Reuters) - U.S. stock indexes dipped on Thursday as

fresh developments in an inquiry into the impeachment of

President Donald Trump offset gains from trade-related optimism

fueled by upbeat comments from China.

The U.S. House Intelligence Committee released a

declassified version of a whistleblower report alleging that

Trump used his office to solicit interference in the 2020

presidential election from a foreign country. The report is seen

as central to the impeachment inquiry. "We need something like a trade deal to get through. Without

that we are just going to bounce around here where if you get

some bad political news, it sells off," said Kim Forrest, Chief

investment officer at Bokeh Capital Partners in Pittsburgh.

Beijing said earlier on Thursday it was in close

communication with the United States and was preparing to make

progress with their trade talks in October. Facebook Inc FB.O slipped 1.7% as a person familiar with

the matter told Reuters that the U.S. Justice Department will

open an antitrust investigation of the social media company.

Facebook's shares pulled the communication services

.SPLRCS sector down 0.71%.

The steady dividend paying-paying sectors - consumer staples

.SPLRCS , utilities .SPLRCU and real estate .SPLRCR - were

leading gains among the 11 major S&P sectors.

The three, widely regarded as defensive plays, are also the

best performing S&P sectors this quarter.

At 10:00 a.m. ET, the Dow Jones Industrial Average .DJI

was down 10.98 points, or 0.04%, at 26,959.73, the S&P 500

.SPX was down 6.94 points, or 0.23%, at 2,977.93. The Nasdaq

Composite .IXIC was down 39.05 points, or 0.48%, at 8,038.33.

Leisure cruise operator Carnival Corp CCL.N dropped 7.8%,

set for its worst day in six months after it cut its full-year

profit forecast for the third time on the back of higher fuel

prices. Shares in one of this year's market success stories, Beyond

Meat BYND.O , jumped 10.3% as it added McDonald's Corp MCD.N

to a growing list of clients for its plant-based patties.

Declining issues outnumbered advancers for a 1.30-to-1 ratio

on the NYSE and a 1.54-to-1 ratio on the Nasdaq.

The S&P index recorded 19 new 52-week highs and two new

lows, while the Nasdaq recorded 16 new highs and 35 new lows.

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