Technology companies and consumer-focused companies continue to climb and Amazon.com surpasses $1,000 a share for the first time.
NEW YORK — U.S. stocks are lower Tuesday morning as energy companies once again slump with the price of oil and banks slide in tandem with bond yields and interest rates. Technology companies and consumer-focused companies continue to climb and Amazon.com surpasses $1,000 a share for the first time. Several companies used the long holiday weekend to complete acquisitions.
KEEPING SCORE: The Standard & Poor's 500 index lost 5 points, or 0.2 percent, to 2,410 as of 10:15 a.m. Eastern time. The Dow Jones industrial average fell 65 points, or 0.3 percent, to 21,014. The Nasdaq composite dipped 7 points, or 0.1 percent, to 6,203. The Russell 2000 index of smaller-company stocks tumbled 10 points, or 0.7 percent, to 1,372.
The Standard & Poor's 500 and Nasdaq both closed at record highs Friday.
ENERGY: Benchmark U.S. crude lost 68 cents, or 1.4 percent, to $49.12 a barrel in New York. Brent crude, the international standard, fell 95 cents, or 1.8 percent, to $51.69 a barrel in London. Hess dropped $1.22, or 2.5 percent, to $46.92 and Exxon Mobil shed 40 cents to $81.15. The S&P 500 index of energy companies reached its lowest level in a year.
BONDS: Bond prices rose. The yield on the 10-year Treasury note fell to 2.22 percent from 2.25 percent late Friday. When bond yields decrease, interest rates fall along with them, and that reduces the profits banks can make from mortgages and other loans. PNC Financial Services gave up $1.70, or 1.4 percent, to $119.62 and JPMorgan Chase declined 49 cents to $84.87.
DEALING: E-commerce and payment services company First Data said it will buy payment processing company CardConnect for $15 a share in cash, or about $468 million. CardConnect's stock climbed $1.35, or 9.9 percent, to $15 and First Data picked up 18 cents, or 1.1 percent, to $16.82.
Offshore drilling contractor Atwood Oceanics jumped after it agreed to be bought by Ensco PLC for $10.72 in stock, or $863 million. Atwood rose $2.23, or 27.6 percent, to $10.31 while U.K.-based Ensco lost 14 cents, or 2.1 percent, to $6.56.
Cloud-based incentives company Xactly agreed to be taken private by Vista Equity Partners in a deal that values it at $15.65 a share, or $499 million. Its stock added $2.15, or 16 percent, to $15.55.
CONSUMERS: The Commerce Department said consumer spending grew 0.4 percent in April, another hint that the economy is on track to rebound after a sluggish start to this year. Consumer spending is responsible for 70 percent of economic activity. An important measurement of inflation rose in April and it's up 1.7 percent in the last year. That's still below the Federal Reserve's target of 2 percent.
TECH AGAIN ON TOP: Technology companies continued to lead the way. Security software maker Symantec advanced 79 cents, or 2.7 percent, to $30.40. Chipmaker Nvidia gained $2.51, or 1.8 percent, to $144.35 and Micron Technology rose 79 cents, or 2.6 percent, to $30.55.
AMAZON MILESTONE: Online retail giant Amazon.com traded above $1,000 a share for the first time, as it peaked at $1,000.80 just after the market opened. Later it traded at $998.99, up $3.21 from Friday. The only other S&P 500 company valued at more than $1,000 a share is travel booking site Priceline, which traded at about $1,863 on Tuesday.
CURRENCIES: The dollar declined to 111.01 yen from 111.19 yen. The euro rose to $1.12 from $1.1176.
OVERSEAS: The FTSE 100 index in Britain fell 0.3 percent and the French CAC 40 sank 0.5 percent. Germany's DAX was unchanged. In Japan, the Nikkei 225 finished nearly flat and South Korea's Kospi dropped 0.4 percent. Markets in Hong Kong were closed for a holiday.