Stocks Opened Modestly Lower after Powell Rally

U.S. stocks opened modestly lower on Thursday, one day after Federal Reserve Chairman Jerome Powell’s dovishly interpreted speech sparked a market rally. The Dow Jones Industrial Average lately fell 64.09 points, or 0.25% to 25,302.34. The S&P 500 retreated 9.77 points, or 0.36%, to 2,734.02. The Nasdaq Composite fell 25.98 points, or 0.36%, to 7,265.61.

Oil rose to trade near $51 a barrel in New York, erasing an earlier loss, after a report that Russia accepts the need to cut production in conjunction with OPEC. West Texas Intermediate crude for January delivery was up 62 cents, or 1.2%, at $50.91 a barrel. February Brent crude was up 74 cents, or 1.3%, at $59.83 a barrel.

The number of Americans who applied for unemployment benefits in the week of Thanksgiving rose to the highest level in six months. Initial jobless claims rose by 10,000 to 234,000 in the seven days ended Nov. 24.

Americans in October matched their biggest increase in spending this year just as the holiday shopping season kicked off, offering the first clue that the economy might end 2018 with a flourish. Consumer spending jumped 0.6% last month, the government said Thursday. Incomes rose 0.5% in what was the biggest gain since January.