NEW YORK – Stocks are narrowly mixed in early trading, one day after the stock market’s most watched measure snapped a six-day streak of gains.
Gold is extending its gains Tuesday after closing at a record high on Monday. The precious metal is now trading at $1,420 an ounce. Investors have been buying gold on fears of inflation and a weaker dollar. Global stocks are mixed.
In corporate news, Chevron announced it will buy natural gas producer Atlas Energy for $3.2 billion.
The Dow Jones industrial average is down 22, or 0.2 percent, to 11,385. The S&P 500 is down 1, or 0.1 percent, to 1,223, while the Nasdaq composite index is up 1, or 0.1 percent, to 2,581.
THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP’s earlier story is below.
NEW YORK (AP) — Stocks were poised to open slightly higher Tuesday, a day after the market’s best-known indicator broke a six-session winning streak with a modest decline.
Overseas markets were mixed with shares rising in Europe after falling in Asia. Gold prices reached new highs as the dollar continued its slide. A weaker dollar has been a boost for stock prices, especially for corporations who rely on exports and overseas operations for increasing revenues.
Ahead of the U.S. opening, Dow Jones industrial average futures were up 27, or 0.3 percent, to 11,391. The index fell 37.24 on Monday following six consecutive daily gains.
Futures for the broad S&P 500 index were up 3, or 0.2 percent, to 1,223, ahead of Tuesday’s opening while the technology-focused Nasdaq 100 futures were up 8, or 0.4 percent, to 2,192.
Shares in Europe were trading higher following a batch of strong corporate earnings reports. British mobile phone company Vodaphone PLC reported a 3 percent gain in operating profits and raised its expected year-end profits due to faster than expected growth. French luxury goods makers Hermes SA also told investors that it expects to bring in more profits this year than earlier forecasts.
The Euro Stoxx 50, which tracks blue chip companies in Europe, was up 0.7 percent.
China’s Shanghai Composite index, the country’s benchmark stock index, fell 0.8 percent. General Electric Co. announced Tuesday that it will spend more than $2 billion in China on research and developing joint ventures with the country’s state-owned technology companies.
Ahead of the U.S. opening, Chevron Corp. announced that it had agreed to acquire natural-gas producer Atlas Energy for $3.2 billion in cash and stock. Chevron’s move follows similar natural gas acquisitions by energy giants Exxon Mobil and Royal Dutch Shell. Shareholders of Atlas Energy will receive a $43.34 per share, a 37 percent premium over the company’s closing price Monday. Shares of Chevron were down less than 1 percent in pre-market trading.
Finance ministers from countries including China, Germany and Japan have recently criticized a bond-buying program by the Federal Reserve that is intended to spur consumer spending and investment. The central bank announced last week that it would buy $600 billion in Treasury bonds until the middle of next year, a move known as quantitative easing. The Fed’s program will likely weaken the value of the dollar, which would benefit large companies like Caterpillar Inc. and Boeing that rely on exports.
The Fed’s decision will likely be a focus of the meeting of the Group of 20 industrial and developing economies that will begin Wednesday night in Seoul.
Gold continued to gain after reaching record highs on Monday due to continuing concerns regarding the weakening of the dollar. Some gold investors see the metal as a hedge against national currencies losing their value as a result of inflation. Gold was given another boost Monday when World Bank President Robert Zoellick wrote an op-ed piece in the Financial Times arguing that gold should have a place in the world’s monetary system. The precious metal rose to $1,419.17 an ounce, a 1.2 percent rise from late Monday.
Silver also rose, gaining 1.2 percent to trade at $27.76 an ounce.
The dollar fell 0.4 percent against a broad basket of currencies.
Dean Foods and Sempra Energy are among the few companies releasing earnings reports Tuesday.