The Dow and S & P 500 dipped slightly, while the Nasdaq remains above the zero mark. The growth of technology companies such as Apple (AAPL), and Alphabet (GOOG), could not compensate for the drop in the energy sector due to the collapse in oil prices.
As the report from the ISM, in July, the activity in the US manufacturing sector has deteriorated moderately, while the fall exceeded the average forecast. The PMI for the US the production sector was 52.6 points versus 53.2 points in June. It was expected that this figure will drop to 53 points.
In addition, it became known that the US construction spending fell 0.6% in June, the decline is evenly distributed in the private and public sectors. This is the Ministry of Commerce said Monday. This was significantly lower than expected. Economists had expected an increase of 0.5%.
However, the final data presented Markit Economics, showed that seasonally adjusted manufacturing PMI index rose to 52.9 in July versus 51.3 in June. The latter value has coincided with the preliminary estimates and forecasts. The index also reached its highest level in 8 months. The report stated that the improvement of the business environment was associated with strong rates of growth in production, new orders and employment. Sub-production index recorded a second monthly increase in a row, and peaked in November 2015. Export sales also increased, the manufacturers associated with successful advertising initiatives and access to new markets. The growth of workloads, in turn, contributed to the accumulation of pending orders for the second month in a row.
Crude oil futures fell significantly, as the increase in the volume of OPEC production and the growth in the number of US rigs raise concerns about a global glut. "The mood among investors is still very negative due to a sharp fall in prices in recent years is now clear that to change the balance take longer than some market participants previously thought, -. Said Eugen Weinberg of at Commerzbank -. Data Reuters pointed to another one an increase in OPEC oil production. Meanwhile, a recent report by Baker Hughes showed that the increase in the number of drilling rigs "continues in the United States.
Most DOW components of the index ended the day mixed. More rest rose stocks Apple Inc. (AAPL, + 1.71%). Outsider were shares of Exxon Mobil Corp. (XOM, -3.65%).
Sector S & P index closed mixed. The leader turned conglomerates sector (+ 2.3%). Most of the basic materials sector fell (-2.7%).
At the close:
Dow -0.15% 18,404.78 -27.46
Nasdaq + 0.43% 5,184.20 +22.07
S & P -0.13% 2,170.80 -2.80
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