Stocks battle to mixed finish

Associated Press

NEW YORK

U.S. stocks fought their way to a mixed finish Tuesday as drugmakers rallied, which mostly canceled out losses for industrial companies. Investors shifted their money to less risky investments for the second day in a row.

For the second-straight day, stocks started with substantial losses. Industrial companies, which have climbed lately, fell the most as UPS tumbled after a weak fourth-quarter report. Banks also slipped.

Investors bid up assets that are traditionally seen as less risky, including gold, government bonds and stocks that pay big dividends. Drug companies also rallied after President Donald Trump met with industry executives and discussed ideas including faster drug approvals and lower taxes.

Jim Paulsen, chief investment strategist for Wells Capital Management, said investors are looking for safer investments because the change from Barack Obama’s administration to Donald Trump’s has created so many changes in government.

“More than anything right now, it’s just the pace of news,” he said. “It is so dramatic.”

The stock market made huge gains after Trump was elected last fall, and Paulsen said it’s not a surprise that investors would sell some of their holdings, take some profits, and move to lower-risk investments at some point.

Athletic apparel maker Under Armour plunged after investors were disappointed with its fourth-quarter report, which included higher expenses. Under Armour also issued a weak full-year forecast and said its chief financial officer is leaving. The stock tumbled $7.45, or 25.7 percent, to $21.49. It dropped 30 percent last year and is now trading at its lowest price in two years.