U.S. stocks traded in a narrow range Tuesday as technology stocks attempted to recover from their worst day in more than a month.
“Investors are being a little more cautious, some profit-taking going on, and also wanting to see if the president can get the Affordable Care Act repealed and [enact] any tax reform,” said Quincy Krosby, chief market strategist at Prudential Financial. But, she said, investors may show little conviction on stocks until earnings season.
Stocks briefly turned negative in late morning trade. As of 11:46 a.m., ET, the Dow Jones industrial average traded about 8 points higher after posting three straight days of losses. Apple and UnitedHealth contributed the most to gains in the index.
Information technology rose about a quarter of a percent to lead S&P 500 advancers, while materials stocks were among the greatest decliners.
On Monday, technology stocks fell more than 1 percent in their worst day since August 17. The small-cap Russell 2000 hit a record high for the first time since July.
“We got a little bump in the open after three down days on the Dow,” said JJ Kinahan, chief strategist at TD Ameritrade. He said investors were awaiting a midday speech from Fed Chair Janet Yellen, although no major news is expected less than a week after her press conference.