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US stocks declined slightly on Wednesday, as investors took a breather after a strong rally earlier in the week, despite strong reports on new home sales and durable goods. For the third consecutive day, equities briefly bounced after favourable news, but the gains fizzled.
"I cannot say I'm surprised if we do nothing much late in August, when the trading volume is nothing, especially when we've run up as much as we have," said Linda Duessel, market strategist at Federated Investors in Pittsburgh. The S&P 500 is on track for its sixth straight monthly rise. The benchmark index has gained about 52 percent from 12-year lows set in early March.
The Dow Jones industrial average shed 15.57 points, or 0.16 percent, to 9,523.72. The Standard & Poor's 500 Index fell 3.05 points, or 0.30 percent, to 1,024.95. The Nasdaq Composite Index dropped 8.24 points, or 0.41 percent, to 2,015.99.

Copyright Reuters, 2009

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