Wednesday, August 18, 2010

Stocks down slightly in thin trading after rally

Stocks were mostly lower Wednesday as investors find little incentive to extend the previous day's rally.

The Dow Jones industrial average fell about 30 points and all the other major indexes fell.

There was little news to motivate investors to continue the rally that sent the Dow up 103 points Tuesday. Target Corp. missed analysts' forecasts for its second-quarter revenue.

Target's report came a day after Wal-Mart Stores Inc. and Home Depot Inc. helped feed the stock rally with upbeat numbers. So investors were again presented with numbers that appeared contradictory, and that spelled more uncertainty about the economy.

Wednesday's trading was muted however, and that was to be expected after investors on Tuesday showed their first real enthusiasm for stocks in weeks and sent the Dow up 103 points. There were no big economic reports planned Wednesday. And any big gains were likely to be given back simply because investors don't trust stocks to put together a solid advance.

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