U.S. stocks flattened in morning trading as investors assessed a mixed bag of corporate earnings and economic reports.
Technology companies fared the worst, with the heaviest declines coming from chipmakers. Intel fell 1.2% and Texas Instruments fell 1.3%.
Johnson & Johnson led health care stocks lower, despite topping Wall Street’s financial forecasts. Energy companies also fell broadly.
A surprisingly good retail sales report for June had little impact on consumer product makers, though it did help push bond prices lower. The yield on the 10-year Treasury rose to 2.13%.
Industrial companies fared the best. Union Pacific rose 2% and FedEx rose 2.5%. Financial stocks also rose broadly, with Goldman Sachs rising 2.4% following a solid second quarter earnings report.
The latest round of corporate financial reports ramps up this week and investors have low expectations. Wall Street is forecasting a 3% drop in profit for S&P 500 companies. It is set to be the first back-to-back quarterly decline in three years.
The influx of earnings reports are coming in ahead of a highly anticipated Federal Reserve meeting at the end of the month. Wall Street expects the central bank to raise interest rates to help secure U.S. economic growth threatened by a trade war with China.
KEEPING SCORE: The S&P 500 index fell less than 1% as of 11:05 a.m. Eastern time. The Dow Jones Industrial Average rose 27 points, or 0.1%, to 27,386. The Nasdaq composite fell slightly.
SOUR DOUGH: Domino’s Pizza fell 6.2% after the pizza chain fell far short of Wall Street forecasts for a key sales measure during the second quarter. The company reported a 3% increase in sales at established locations while analysts had forecast a 4.6% increase.
SHOCKING FORECAST: Arrow Electronics fell 3.8% after the company slashed its profit forecast for the second quarter because of weak demand. The electronics company also said it will close a unit that focuses on disposing of personal computers and other technology.
BURGER BOOST: Blue Apron jumped 23.8% after the meal-kit company said it will start offering recipes with Beyond Meat’s plant-based food. The company will start offering the options in August.
This story has been corrected to clarify the type of business that Arrow Electronics is closing.
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