Wall Street Unable To Hold Midday Gains

WASHINGTON (dpa-AFX) - The major U.S. averages were higher for much of Wednesday's trade but a late slump saw them finish under water.The Dow dipped 13.96 points or 0.03 percent to finish at 52,305.24, coming off a record closing high. The NASDAQ sank 173.69 points or 0.66 percent to close at 26.04…

WASHINGTON (dpa-AFX) - The major U.S. averages were higher for much of Wednesday's trade but a late slump saw them finish under water.

The Dow dipped 13.96 points or 0.03 percent to finish at 52,305.24, coming off a record closing high. The NASDAQ sank 173.69 points or 0.66 percent to close at 26.040.03 and the S&) 500 fell 16.13 points or 0.22 percent to end at 7,483.23.

The weakness that emerged on Wall Street was the result of ongoing concerns that the AI companies and chipmakers may be overbought - which had the biggest effect on the tech-heavy NASDAQ.

Traders also kept an eye out for developments in the Middle East, with concrete details regarding the end of the war remaining elusive.

In U.S. economic news, a report released by the Institute for Supply Management on Wednesday showed a modest decrease by its reading on U.S. manufacturing activity in the month of June.

The ISM said its manufacturing PMI dipped to 53.3 in June after rising to 54.0 in May, although a reading above 50 still indicates growth. Economists had expected the index to edge down to 53.9.

Crude oil prices tumbled again on Wednesday amid gradual recovery in tanker traffic across the Strait of Hormuz while indirect negotiations between the U.S. and Iran in an effort to reduce Middle East tensions gain pace.

West Texas Intermediate crude for August delivery was down $1.12 or 1.61 percent at $68.38 per barrel.

European stocks closed broadly lower on Wednesday with investors mostly staying cautious while watching the developments with regard to U.S.-Iran peace moves and focusing on speeches from prominent central bank officials at the Sintra Forum.

Uncertainty about US-Iran peace talks and the loss of momentum in the AI-driven tech rally contributed to the subdued trend in most of the markets in the region.