US STOCKS-S&P 500, Dow snap 7-day winning streak as concern mounts over stimulus deal

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* Tech-laden Nasdaq extends recent losses
* Rotation from growth stocks to value extends
* Indexes down: Dow 0.4%, S&P 500 0.8%, Nasdaq 1.7%

(Updates close with volume, details)
By Caroline Valetkevitch
Aug 11 (Reuters) - U.S. stocks closed lower on Tuesday, with
the S&P 500 and Dow snapping a seven-day streak of gains and
falling late in the session on growing uncertainty about
breaking a stalemate in Washington over a fiscal stimulus deal.
Both indexes had been higher for much of the session, and
the S&P 500 came within striking distance of its closing record
high from February, before the onset of the coronavirus crisis
in the United States that caused one of Wall Street's most
dramatic crashes in history.
The day's declines followed comments from U.S. Senate
Republican leader Mitch McConnell, who told Fox News that White
House negotiators had not spoken on Tuesday with Democratic
leaders in the U.S. Congress on coronavirus aid legislation
after talks broke down last week. Investors have been hoping Republicans and Democrats will
resolve their differences and agree on another relief program to
support about 30 million unemployed Americans, as the battle
with the virus outbreak was far from over with U.S. cases
surpassing 5 million last week. "We're sitting here close to the all-time highs in the S&P
500, so any potential negative headline like that can cause a
hiccup," said Michael O'Rourke, chief market strategist at
JonesTrading in Stamford, Connecticut.
The Nasdaq fell more than 1%, extending recent losses and
registering its biggest daily percentage decline since July 23,
with investors continuing to shed technology-related market
heavyweights in favor of value names.
Wedbush trader Joel Kulina said concerns about the stalemate
in stimulus negotiations added to pressure to sell recently
strong performing tech stocks.
"It just feels like an acceleration of the growth unwind
that started last Friday. Today marks day three of the unwind
out of growth," Kulina said. "But I'm not seeing panicking."
Apple Inc AAPL.O , Amazon.com Inc AMZN.O and Microsoft
MSFT.O were the biggest drags on the S&P 500. Financials
.SPSY and industrials .SPLRCI , which have underperformed
other sectors this year, were the only two positive S&P 500
sectors on the day.
The Dow Jones Industrial Average .DJI fell 104.53 points,
or 0.38%, to 27,686.91, the S&P 500 .SPX lost 26.78 points, or
0.80%, to 3,333.69 and the Nasdaq Composite .IXIC dropped
185.53 points, or 1.69%, to 10,782.82.
The Russell 1000 value .RLV index rose sharply during the
session before ending near flat. It sharply outperformed the
Russell 1000 growth .RLG index, which sank 1.5%.
In early afternoon trading, the S&P 500 hit a session high
of 3,381.01, putting it just 0.15% shy of its 3,386.15 record
closing high and 0.37% from its 3,393.52 all-time intraday peak,
both registered on Feb. 19.
Ultra-low interest rates, trillions of dollars in stimulus
and, more recently, a better-than-feared second-quarter earnings
season have allowed all three of Wall Street's main indexes to
recover.
Declining issues outnumbered advancing ones on the NYSE by a
1.05-to-1 ratio; on Nasdaq, a 1.52-to-1 ratio favored decliners.
The S&P 500 posted 45 new 52-week highs and no new lows; the
Nasdaq Composite recorded 97 new highs and 14 new lows.
Volume on U.S. exchanges was 11.24 billion shares, compared
with the 10.32 billion average for the full session over the
last 20 trading days.