MARKET Small companies suffer the biggest slip in stocks

Associated Press

NEW YORK

U.S. stocks are slipping Thursday as technology and energy companies and banks fall. Big drug companies and industrial firms are rising, and a solid quarter from cereal maker Kellogg helped makers of food and household goods move higher. Smaller companies continue to decline.

Small companies, which surged in November and December, have struggled lately. The Russell 2000 sank 7 points, or 0.5 percent, to 1,405 after a sharp loss a day ago. Julian Emanuel, an equity strategist for UBS, said that as the dollar continues to lose strength, investors are selling smaller and more domestically-focused companies and buying more international businesses, as the weaker dollar will help their sales outside the U.S.

TECH TAKES A TURN

Security software maker Symantec announced disappointing first-quarter sales and its forecasts for the rest of the year weren’t as good as analysts had hoped. Symantec also said it will sell its website security business to DigiCert for $950 million in cash and a 30 percent stake in DigiCert. Symantec slid 51 cents, or 1.6 percent, to $30.40. Apple lost $1.35 to $155.79 after a big jump the day before.

THEY’RE GREAT

Kellogg, maker of Frosted Flakes, Pop Tarts and Eggo waffles, reported another quarterly decline in sales as revenue from breakfast items slipped and snack food sales were flat. But the results weren’t as bad as experts had expected. Its stock jumped $3.27, or 4.8 percent, to $70.71.

Consumer products maker Clorox rose after it disclosed a larger-than-expected profit (a $3.19, or 2.4 percent gain, to $135.16), while Avon Products continued to struggle, taking another loss (37 cents, or 11 percent, to $2.99) and announcing CEO Sheri McCoy will leave the company.

ENERGY

Oil prices turned lower. Benchmark U.S. crude dipped 56 cents, or 1.1 percent, to $49.03 a barrel in New York. Brent crude, the international standard, fell 35 cents to $52.01 a barrel in London.

Wholesale gasoline lost 1 cent to $1.63 a gallon. Heating oil fell 2 cents to $1.64 a gallon. Natural gas slipped 1 cent to $2.80 per 1,000 cubic feet.

ELECTRIFYING

Electric car maker Tesla said it’s confident it can meet its production goals for its new Model 3 sedan, which will cost less than its previous cars. The company also took a smaller net loss than investors expected. Its shares gained $21.27, or 6.5 percent, to $347.16.

ECONOMIC NEWS

The Institute for Supply Management gave a disappointing report on how U.S. services companies did in July. The group’s services index slipped to its lowest reading in 11 months as production, orders and hiring all slowed down. It’s a result that suggests the economy is still growing at a steady but modest pace.

Meanwhile the Bank of England left its key interest rate at a record low and reduced its economic growth forecasts. That sent the British FTSE 100 index 0.9 points higher for the day, as investors were glad the bank probably won’t raise interest rates any time soon. The pound also moved lower.

The yield on the 10-year Treasury note fell to 2.23 percent from 2.27 percent. That sent interest rates lower, and banks also fell.

METALS

Gold dipped $4 to $1,274.40 an ounce. Silver fell 10 cents to $16.63 an ounce. Copper lost less than 1 cent to $2.88 a pound.

CURRENCIES

The dollar fell to 110.06 yen from 110.61 yen. The euro rose to $1.1866 from $1.1860.

STOCKS OVERSEAS

In France, the CAC 40 rose 0.5 percent and the DAX in Germany lost 0.2 percent. Japan’s benchmark Nikkei 225 lost 0.3 percent and the Kospi of South Korea dropped 1.7 percent. Hong Kong’s Hang Seng sank 0.3 percent.