While selling pressure has remained relatively subdued, stocks continue to see modest weakness in late morning trading on Wednesday. The major averages remain stuck in the red after moving to the downside at the start of trading.
Profit taking contributed to the initial weakness on Wall Street, with traders cashing in on the recent strength in the markets, which lifted the major averages to three-month highs.
Disappointing comments from Dallas Federal Reserve President Richard Fisher also weighed on the markets, as he told Bloomberg that the Fed has done its job regarding providing the necessary economic stimulus and that it is now up to the private sector.
However, stocks did not see much follow-through on the initial downward move and have regained some ground since then amid continued optimism about further stimulus from Europe.
Most of the major sectors are subsequently showing only modest moves on the day, although weakness is visible among electronic storage, internet, and commercial real estate stocks. On the other hand, notable strength has emerged among airline, gold, and steel stocks.
The major averages have moved roughly sideways in recent trading, stuck modestly below the unchanged line. The Dow is down 9.50 points or 0.1 percent at 13,159.10, the Nasdaq is down 9.31 points or 0.3 percent at 3,006.55 and the S&P 500 is down 2.02 points or 0.1 percent at 1,399.33.
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