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U.S. Stocks Turn Mixed After Early Move To The Upside


After moving higher early in the session, stocks have given back some ground over the course of morning trading on Monday. The major averages have pulled back off their highs of the session, with the Dow dipping into negative territory.

Currently, the major averages are turning in a mixed performance. While the Dow is down 15.19 points or 0.1 percent at 27,139.01, the Nasdaq is up 43.94 points or 0.5 percent at 8,190.43 and the S&P 500 is up 5.18 points or 0.2 percent at 2,891.79.

The lackluster performance on Wall Street comes as traders seem reluctant to make significant moves ahead of the release of earnings news from a slew of big-name companies.

Amazon (AMZN), Coca-Cola (KO), AT&T (T), Boeing (BA), Caterpillar (CAT), Facebook (FB), Alphabet (GOOGL), Intel (INTC), McDonald's (MCD), and Twitter (TWTR) are just a few of the companies due to report their quarterly results this week.

According to FactSet data, 79 percent of S&P 500 companies have reported better than expected quarterly earnings so far this earnings season.

Traders are also sticking to the sidelines amid a quiet day on the U.S. economic front ahead of the release of reports on new and existing home sales, durable goods orders, and second quarter GDP in the coming days.

Despite the lack of direction being shown by the broader markets, oil service stocks have shown a significant move to the upside, driving the Philadelphia Oil Service Index up by 2.5 percent.

Halliburton (HAL) is leading the oil service sector higher after reporting better than expected second quarter earnings.

Considerable strength has also emerged among semiconductor stocks, with the Philadelphia Semiconductor Index climbing by 1.9 percent to a two-month intraday high.

Chip maker Micron Technology (MU) is posting a strong gain after Goldman Sachs upgraded its rating on the company's stock to Buy from Neutral.

Software stocks are also seeing some strength on the day, while tobacco stocks have shown a notable move to the downside.

In overseas trading, stock markets across the Asia-Pacific region moved mostly lower during trading on Monday. Japan's Nikkei 225 Index dipped by 0.2 percent, while Hong Kong's Hang Seng Index plunged by 1.4 percent.

Meanwhile, European stocks have pulled back off their best levels but continue to see modest strength. While the German DAX Index is up by 0.3 percent, the U.K.'s FTSE 100 Index and the French CAC 40 Index are both up by 0.1 percent.

In the bond markets, treasuries are seeing modest strength after ending the previous session slightly lower. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is down by 1.2 basis points at 2.036 percent.

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