Daily Times

Major Wall Street indices drew back from record territory on Wednesday, as enthusiasm over good earnings numbers was overcome by the grinding politics of Washington. The Dow and S&P 500 had started the day’s trading with modest gains after their record-setting finishes on Tuesday, but slumped by the close as Democratic lawmakers in Congress appeared to make little progress on a long-awaited social spending package. FHN Financial’s Chris Low said despite fears the potential of $2 trillion in spending under the plan could fuel more price increases, stock markets may view the package as necessary for the health of the wider economy. “I could see from a stock standpoint, inflation is not the enemy. Growth is necessary,” he said. The benchmark Dow Jones Industrial Average dropped 0.7 percent to 35,490.69 at the close. The broad-based S&P 500 lost 0.5 percent to finish at 4,551.68. The tech-rich Nasdaq Composite Index was flat at 15,235.84. Traders also were eyeing corporate earnings, which have provided a mixed view on the health of major corporations as they bounce back from the pandemic.