U.S. stocks pulled back slightly on Wednesday after a record-setting rally in the prior session, as investors digested a batch of mixed earnings reports.
The S&P 500 is just 0.3% away from an intra-day record high of 2,940.91 hit on Sept. 21 after surging about 17% this year, helped by a dovish Federal Reserve, hopes of a U.S.-China trade resolution and a largely upbeat earnings season.
“Thus far you’ve had pretty strong reactions to earnings and investor sentiment is nervously positive,” said Michael James, managing director of equity trading at Wedbush Securities in Los Angeles.
“The nervousness has to do with valuations and the concern being, ‘Am I going to get good enough results and guidance to justify the markets going higher?’”
