(RTTNews) - After moving modestly higher over the course of the previous session, stocks moved back to the downside at the start of trading on Wednesday. The major averages all slipped into negative territory, pulling back off their best closing levels in over a year.

The initial weakness in the markets was partly due to the release of a report from the Commerce Department showing an unexpected decrease in housing starts, although the drop came amid some uncertainty about the first-time home buyers tax credit.
Early weakness has emerged among electronic storage stocks, with Seagate Technology (STX) helping to lead the way lower after a downgrade by Bank of America/Merrill Lynch. Some wireless, networking, and biotech stocks are also moving lower.

While selling pressure has remained somewhat subdued, the major averages are currently stuck in the red. The Dow is currently down 27.21 at 10,410.21, the Nasdaq is down 10.27 at 2,193.51 and the S&P 500 is down 1.88 at 1,108.44.

by RTT Staff Writer

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