Financial Markets                      12/26 15:27

   

   Stock indexes drifted to a mixed finish on Wall Street as some heavyweight 
technology and communications sector stocks offset gains elsewhere in the 
market. The S&P 500 slipped less than 0.1% Thursday, its first loss after three 
straight gains. The Dow Jones Industrial Average added 0.1%, and the Nasdaq 
composite fell 0.1%. Gains by retailers and health care stocks helped temper 
the losses. Trading volume was lighter than usual as U.S. markets reopened 
following the Christmas holiday. The Labor Department reported that U.S. 
applications for unemployment benefits held steady last week, though continuing 
claims rose to the highest level in three years. Treasury yields fell in the 
bond market.

   THIS IS A BREAKING NEWS UPDATE. AP's earlier story follows below.

   Stocks wavered on Wall Street in afternoon trading Thursday, as gains in 
tech companies and retailers helped temper losses elsewhere in the market.

   The S&P 500 was up less than 0.1% after drifting between small gains and 
losses. The benchmark index is coming off a three-day winning streak.

   The Dow Jones Industrial Average was up 10 points, or less than 0.1%, as of 
3:20 p.m. Eastern time. The Nasdaq composite was up 0.1%.

   Trading volume was lighter than usual as U.S. markets reopened after the 
Christmas holiday.

   Chip company Broadcom rose 2.5%, Micron Technology was up 1.3% and Adobe 
gained 0.8%.

   While tech stocks overall were in the green, some heavyweights were a drag 
on the market. Semiconductor giant Nvidia, whose enormous valuation gives it an 
outsize influence on indexes, slipped 0.1%. Meta Platforms fell 0.5%, Amazon 
was down 0.4%, and Netflix gave up 0.7%.

   Tesla was among the biggest decliners in the S&P 500, down 1.4%.

   Health care stocks helped lift the market. CVS Health rose 1.4% and 
Walgreens Boots Alliance rose 3.9% for the biggest gain among S&P 500 stocks.

   Several retailers also gained ground. Target rose 3.1%, Ross Stores added 
1.8%, Best Buy was up 2.5% and Dollar Tree gained 3.6%.

   Traders are watching to see whether retailers have a strong holiday season. 
The day after Christmas traditionally ranks among the top 10 biggest shopping 
days of the year, as consumers go online or rush to stores to cash in gift 
cards and raid bargain bins.

   U.S.-listed shares in Honda and Nissan rose 4.2% and 15.9%, respectively. 
The Japanese automakers announced earlier this week that the two companies are 
in talks to combine.

   Traders got a labor market update. U.S. applications for unemployment 
benefits held steady last week, though continuing claims rose to the highest 
level in three years, the Labor Department reported.

   Treasury yields turned mostly lower in the bond market. The yield on the 
10-year Treasury fell to 4.58% from 4.59% late Tuesday.

   Major European markets were closed, as well as Hong Kong, Australia, New 
Zealand and Indonesia.

   Trading was expected to be subdued this week with a thin slate of economic 
data on the calendar.

   Still, U.S. markets have historically gotten a boost at year's end despite 
lower trading volumes. The last five trading days of each year, plus the first 
two in the new year, have brought an average gain of 1.3% since 1950.

   So far this month, the U.S. stock market has lost some of its gains since 
President-elect Donald Trump's win on Election Day, which raised hopes for 
faster economic growth and more lax regulations that would boost corporate 
profits. Worries have risen that Trump's preference for tariffs and other 
policies could lead to higher inflation, a bigger U.S. government debt and 
difficulties for global trade.

   Even so, the U.S. market remains on pace to deliver strong returns for 2024. 
The benchmark S&P 500 is up roughly 26% so far this year and remains near its 
most recent all-time high it set earlier this month -- its latest of 57 record 
highs this year.

   Wall Street has several economic reports to look forward to next week, 
including updates on pending home sales and home prices, a report on U.S. 
construction spending and snapshots of manufacturing activity.

   ___

   AP Business Writers Elaine Kurtenbach and Matt Ott contributed.

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