Stocks Opened Lower on Mixed Data, Global Geopolitical Risk

U.S. stocks opened lower on Tuesday, as investors took in a flurry of mixed U.S. economic data and turned cautious in the wake of the downing of a Russian jet fighter by the Turkish military. The Dow Jones Industrial Average lately lost 35.21 points, or 0.20%, to 17,757.47. The S&P 500 fell 5.76 points, or 0.28%, to 2,080.83. The Nasdaq Composite was down 20.15 points, or 0.39%, to 5,082.33.

The U.S. economy grew at a slightly faster rate in the summer than previously reported, mainly because businesses restocked their goods at a stronger pace than first thought. The overall economy, as measured by the gross domestic product, grew at an annual rate of 2.1 percent in the July-September period, the Commerce Department reported Tuesday.

U.S. home prices rose in September from a year earlier at the fastest pace in 13 months as a lack of houses for sale has forced buyers to bid up available properties. The Standard & Poor’s/Case-Shiller 20-city home price index, released Tuesday, increased 5.5 percent in September compared with a year ago, the largest annual gain since August 2014.

Oil prices rose on Tuesday as tensions in the Middle East escalated following the downing of a Russian-made fighter jet near the Syrian-Turkish border, and a weaker dollar provided incentive for investors to buy more oil. West Texas Intermediate (WTI) crude (CLc1) was up 75 cents at $42.50 a barrel.

Microsemi Corp. (MSCC) said Tuesday it has agreed to acquire PMC-Sierra Inc. (PMCS) in a cash and stock deal valued at about $2.5 billion. Microsemi will pay $9.22 in cash plus 0.0771 of a share per each PMC share through an exchange offer.

Chico’s FAS Inc. (CHS) said Tuesday its board has approved a new share buyback of up to $300 million. The apparel retailer also said it has raised its quarterly dividend by 3.3% to 7.75 cents a share.