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Overnight Markets: Wall Street declines as GE, tech shares fall

Overnight Markets: Wall Street declines as GE, tech shares fall

US stocks closed lower on Monday, with the Dow Jones ending its five-day streak of records, weighed down by the tech and industrial sectors.

The Dow Jones Industrial Average fell 55 points, or 0.23%, to end at 23,274, the S&P 500 lost 10 points, or 0.40%, to 2,565 and the Nasdaq Composite dropped 42 points, or 0.64%, to 6,587.

Wall Street opened at record highs following Japanese Prime Minister Shinzo Abe’s emphatic win in weekend polls.

However, the stocks turned lower in afternoon trading after General Electric plummeted 6.4% as analysts continued to digest Friday's disappointing earnings report, with UBS downgrading the industrial giant.

Other industrial firms also took losses. Equipment rental company United Rentals lost 2%. Arconic, which makes aluminum parts for the aerospace and other industries, fell 9.2% after it disclosed a smaller-than-expected profit.

Several high-flying technology companies stumbled, including Amazon, Facebook and Google parent Alphabet, all of which lost 1.5% or more. Apple and Microsoft ended little changed.

Hasbro sank 8.6% after it projected lower-than-expected fourth-quarter sales growth due to uncertainty from the Toys "R" Us bankruptcy. Rival Mattel lost 3.2%.

Sporting goods and sneaker company Under Armour slid 4.3% following a report that co-founder Kip Fulks was on sabbatical and that the company was considering exiting tennis and some other categories amid slowing sales.

Corporate earnings have gotten off to a strong start, with 73.2% of the 97 S&P companies beating profit expectations versus a 72% beat rate over the past four quarters.

US Treasury prices rose slightly, tracking gains in the European bond market. Investors added to their positions after a sell-off the last few days ahead of this week’s debt auctions and a European Central Bank monetary policy meeting.

In Asia, share markets were little changed on Tuesday in morning session after US stocks lost steam overnight and the dollar edged down from three-month highs.

Japan's Nikkei 225 was rose 0.11%. Across the Korean Strait, the Kospi edged up 0.08%. Down Under, the S&P/ASX 200 rose 0.14%.

Greater China markets were narrowly mixed in early trade. Hong Kong's Hang Seng Index was off 0.22% while mainland markets were little changed. The Shanghai Composite edged up 0.02% and the Shenzhen Composite was off 0.20%.

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