US: Stocks pull back from records to end lower

[NEW YORK] The rally on Wall Street paused on Tuesday as the International Monetary Fund lifted its global growth forecast and the US vaccination rollout accelerated.

After Monday's records, Wall Street stocks finished modestly lower following a choppy session.

The IMF offered a more upbeat outlook on the recovery, increasing its forecast for global growth to 6.0 per cent this year from the prior 5.5 per cent following a flood of government spending, especially in the United States.

Meanwhile, markets digested news that the White House will shift its deadline for all adults to be eligible for Covid-19 vaccines from May 1 to April 19 given rapid progress in all 50 states in the vaccine rollouts.

California Governor Gavin Newsom announced plans to fully reopen its economy by June 15 if the current pace of vaccinations continues, lifting all Covid-related restrictions on businesses.

The Dow Jones Industrial Average shed 0.3 per cent to end the day at 33,430.24.

The broad-based S&P 500 declined 0.1 per cent to 4,073.94, while the tech-rich Nasdaq Composite Index slipped 0.1 per cent to 13,698.38.

Both the Dow and S&P 500 ended at records on Monday.

Among individual stocks, General Motors had another good session, rising 1.4 per cent as it announced plans to build an electric Chevrolet Silverado, adding its popular pickup brand to its growing electric-auto portfolio.

But Phillips 66 fell 1.6 per cent as the refining company signaled it expects a financial loss in the first quarter. The company cited harsh winter storms in Texas and throughout the Gulf Coast that increased costs for natural gas and electricity.



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