Stocks are slipping Tuesday in Wall Street's first trading after a five-week rally carried it to its highest level since the spring of last year.
The S&P 500 was 0.3% lower in early trading. The Dow Jones Industrial Average was down 184 points, or 0.5%, at 34,114, as of 9:50 a.m. Eastern time, while the Nasdaq composite was 0.1% higher.
The U.S. stock market is taking a breather after rising on hopes the economy can avoid a recession and inflation is easing enough for the Federal Reserve to stop raising interest rates soon. A frenzy around artificial intelligence has also vaulted a select group of tech stocks to huge gains.
Those hopes are battling against worries that sticky inflation will force the Fed to keep interest rates higher for longer, which could grind down the economy. With some of the easiest improvements in year-over-year inflation soon to be lapped, a tougher road may be ahead.
"Leaning on the lessons of the 1970s, the Fed is right to be cautious, even if that represents an inconvenient truth for stock investors," said Lisa Shalett, chief investment officer of Morgan Stanley Wealth Management.
In China, meanwhile, the world's second-largest economy is stumbling in its recovery following the relaxation of anti-COVID restrictions.
Stocks in Hong Kong tumbled 1.5% Tuesday after China's central bank cut interest rates by less than some investors had hoped. Stocks in Shanghai slipped 0.5% amid disappointment Chinese authorities didn't do more to support one of the world's main drivers of economic growth.
One of China's biggest corporations, Alibaba Group, also fell after it shook up its top management and announced a new chief executive officer. Its stock trading in the U.S. dropped 3.8%.
Tuesday marked the first trading for Wall Street following a meeting between Chinese leader Xi Jinping and U.S. Secretary of State Antony Blinken. It yielded no signs of progress from either side on Taiwan, human rights, technology and other issues of contention.
Most stocks were falling on Wall Street, but the movements were generally modest.
Ball Corp., which makes aluminum cans and other products, dropped 4.5% for one of the larger losses in the S&P 500. It said Tuesday that it's considering options for its aerospace business, but that "there is no certainty that any formal decision will be made." Its stock had jumped 7.2% Friday following a report that it was looking to sell the unit.
Dice Therapeutics soared 37.8% for a big gain after Eli Lilly said it would buy the biopharmaceutical company for $2.4 billion in cash. Lilly added 1%.
In the bond market, the yield on the 10-year Treasury fell to 3.72% from 3.77% late Friday. It helps set rates for mortgages and other important loans.
The two-year yield, which moves more on expectations for the Fed, slipped to 4.70% from 4.72%.
A report Tuesday morning showed that U.S. homebuilder broke ground on more new homes last month than economists expected. The number of building permits, an indication of future activity, also accelerated faster than expected.
This upcoming week doesn't have many potentially market-moving events after coming off a Monday closure in observance of the Juneteenth national holiday.
Fed Chair Jerome Powell will testify before Congress on Wednesday and Thursday. Last week, the Federal Reserve held its benchmark lending rate steady, the first time in 10 straight meetings it hasn't announced an increase. But it also warned it could raise rates as twice more this year.
The Bank of England will meet on interest-rate policy Thursday. Central banks around the world are heading in diverging directions as they battle inflation amid worries about a pressured global economy.
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AP Business Writers Yuri Kageyama and Matt Ott contributed.
The 13-year-old sister of a young man killed in the attack on her family’s Mississauga restaurant in 2021 took the stand in a Brampton courthouse on Monday to describe the terrifying moments of coming under fire.
The federal Conservatives have advanced a motion that will force MPs to vote on whether to oust Greg Fergus as House of Commons Speaker, after MPs' deputy adjudicator ruled Monday that the Liberal member's allegedly errant partisan event invite required urgent attention.
The trial for a Langley man accused of killing his wife began Monday, with the prosecutor laying out a disturbing series of facts agreed upon by both Crown and defence.
Jason Robertson's hat-trick goal midway through the third period broke a deadlock and proved to be the eventual winner as the Dallas Stars beat the host Edmonton Oilers 5-3 in Game 3 of the Western Conference Final to take a 2-1 series lead.
Slowed or interrupted travel, the passing of goods and significantly restricted borders should be expected if Canadian border workers take upcoming strike action.
A man's daring rescue of a newborn wild foal that was trapped after falling down a steep embankment was caught on video over the weekend.
Depending on where you live, you can expect to get a mixed bag of weather this week, as local forecasts predict heavy rain, strong wind, severe thunderstorms and even snowfall across some areas of Canada.
A Courtenay, B.C., senior is downsizing and packing to move as she comes to accept she can no longer afford to stay in her home, after falling victim to a scam that robbed her of her life savings worth more than $100,000.
Immigration Minister Marc Miller says Israel seemed to be on the verge of approving a program to get Palestinian relatives of Canadians out of the Gaza Strip before the country's invasion of the town of Rafah.
The second of two men charged in the death of a Vancouver senior during a 2021 home invasion has pleaded guilty to manslaughter.
Three northern Ont. police officers who shot and killed an Indigenous man four years ago were cleared of wrongdoing and now a coroner's inquest is underway to prevent similar incidents in the future.
Peel Regional Police say they have arrested 16 suspects and issued arrest warrant for another 10 individuals in connection with an auto theft investigation carried out by a 'highly orchestrated criminal operation.'
A judge has approved, in part, UQAM's request for a provisional injunction against the pro-Palestinian encampment on its grounds.
Emergency services in the town of Rigaud, Que. are investigating after a tornado touched down shortly after 5:30 p.m. on Friday.
The trial for a Langley man accused of killing his wife began Monday, with the prosecutor laying out a disturbing series of facts agreed upon by both Crown and defence.
A two mile (3.2-kilometer) stretch of a popular Southern California beach was closed for the Memorial Day holiday after a shark bumped a surfer off his board the night before, authorities said.
A North Korean rocket carrying its second spy satellite exploded midair on Monday, state media reported, after its neighbours strongly rebuked its planned launch.
Mexico's federal archaeology agency on Monday accused the conservative-governed city of Guanajuato of mistreating one of the country’s famous mummified 19th century bodies.
Iran has further increased its stockpile of uranium enriched to near weapons-grade levels, according to a confidential report on Monday by the United Nations' nuclear watchdog, the latest in Tehran's attempts to steadily exert pressure on the international community.
Chinese state media says at least four people have been reported dead in a building collapse in the eastern province of Anhui.
International donors meeting in Brussels said Monday they will commit 7.5 billion euros (US$8.1 billion) in both grants and loans to support Syrians battered by war, poverty, and hunger for the rest of this year and beyond.
A bill that would ban federal employers from using replacement workers or 'scabs' during lockouts or strikes passed the House of Commons unanimously on Monday.
Incidents of harassment and intimidation targeting politicians appears to be on the rise.
The federal Conservatives have advanced a motion that will force MPs to vote on whether to oust Greg Fergus as House of Commons Speaker, after MPs' deputy adjudicator ruled Monday that the Liberal member's allegedly errant partisan event invite required urgent attention.
Ottawa paramedics will not be calling on taxis to help transport some non-urgent patients, as the service had initially planned.
It takes a lot of calories to be pregnant — and fewer of the calories are going to the fetus than previously thought, according to a new study.
A rare cancer treatment could potentially extend the life of an Ontario woman. The problem is, the province won’t approve the pricey drug.
Treasury Board President Anita Anand says Ottawa is developing a new artificial intelligence strategy for government operations.
Real quick — what did you have for lunch yesterday? Were you with anyone? Where were you? Can you picture the scene? The ability to remember things that happened to you in the past, especially to go back and recall little incidental details, is a hallmark of what psychologists call episodic memory — and new research indicates that it’s an ability humans may share with birds called Eurasian jays.
The Toronto-based research arm of life sciences technology firm Klick Health has found a way to analyze voices in a manner that’s so granular, it can tell whether it's a person or an artificial intelligence-powered machine.
The B.C. Lions have announced rapper 50 Cent will headline the team's home opener next month in Vancouver.
Filmmaker Payal Kapadia made history Saturday, as she became the first person from India to clinch the prestigious Grand Prix at the 77th Cannes Film Festival, the second highest prize after the Palme d'Or.
Toronto native Mae Martin will host the 2024 Canadian Screen Awards.
Amid mounting outrage over high grocery prices, a retail expert says there's a solution to fostering more competition in the country.
A new report commissioned by an industry lobby group on the federal government's proposed emissions cap stirred up strong reactions from both oil and gas supporters and environmental groups on Monday.
A nation-wide moving company that threatened to drive away with a Chilliwack, B.C., couple’s furniture, has compensated the customers nearly $1,000.
A record was broken ahead of the Memorial Day weekend for the number of airline travellers screened at U.S. airports, the Transportation Security Administration said Saturday.
A Winnipeg pinball wizard is heading to the granddaddy of them all – the IFPA World Pinball Championship.
Dairy-loving daredevils threw caution to the wind Monday for one of Britain’s most extreme annual events: Cheese rolling.
Three players quit Argentina's national women's squad Monday after a dispute over a lack of pay and conditions at a camp ahead of two international friendlies, an unthinkable scenario for the country's World Cup winning men's squad.
Scott Arniel believes overcoming the lowest point in his career will help him reach higher aspirations with the Winnipeg Jets.
The B.C. Lions have announced rapper 50 Cent will headline the team's home opener next month in Vancouver.
Canadians feel both 'optimism and concern' over the prospect of flying cars and drones whizzing between remote communities and above city blocks, a new report says.
Canada is looking at the massive new U.S. import tariffs on Chinese-made electric vehicles imposed by U.S. President Joe Biden earlier this month, but is not making any commitment to following suit north of the border.
In the early morning of May 14, Vicki Hill was startled awake by the sound of explosions outside her home in Bethesda, Md. The loud bangs, she learned later, had come from the airbags of the family’s SUV, a 2015 Nissan Murano that was parked in the driveway. It was on fire.
A Winnipeg pinball wizard is heading to the granddaddy of them all – the IFPA World Pinball Championship.
It’s the chance of a lifetime for a group of Ottawa athletes who are getting ready to represent Team Canada at the World Junior Ultimate championships in the United Kingdom.
Parishioners at Holy Trinity Anglican Church are praying for a monetary miracle, as their historic place of worship could collapse at any moment.
A Saskatchewan man made it to the summit of Mount Everest earlier this month.
IAMGOLD’s Cote Gold open pit mine, located off Highway 144 between Timmins and Sudbury, had its official ribbon-cutting ceremony this week as production ramps up.
When one is extended an invitation to the Royal Garden Party in London, England, there's undoubtedly no shortage of pomp and circumstance. Barrie, Ont. natives Megan Kirk Chang and her husband Brandon experienced just that as they entered the prestigious event hosted at Buckingham Palace on Tuesday.
An unlikely celebrity emerged from social media to cheer on the Edmonton Oilers as they face the Dallas Stars tonight in Game 1 of the Western Conference Finals.
The proprietors of Regina's sole discount theatre are aware they're carrying on a significant legacy.
When Jujhar Mann said he wanted to be a pastry chef on a grade school career project, he didn't imagine that pursuing his dream would land him on a popular Netflix baking competition.
The trial for a Langley man accused of killing his wife began Monday, with the prosecutor laying out a disturbing series of facts agreed upon by both Crown and defence.
First responders are at the scene of a fatal car crash in Surrey Monday evening.
Peng-Sealin Penny is a senior on a pension and finds herself once a month coming to the Mustard Seed Food Bank in downtown Victoria for groceries. She's one of the many who rely on the non-profit to make ends meet.
The 13-year-old sister of a young man killed in the attack on her family’s Mississauga restaurant in 2021 took the stand in a Brampton courthouse on Monday to describe the terrifying moments of coming under fire.
Crisis workers will be on hand on Tuesday to meet with students and staff at Scarborough's École secondaire catholique Père-Philippe-Lamarche after one of its students was fatally shot, the board says.
Toronto police have released new surveillance video as they search for two suspects who opened fire on a Jewish girls' school over the weekend.
A man's daring rescue of a newborn wild foal that was trapped after falling down a steep embankment was caught on video over the weekend.
Alberta’s government is using a controversial report forecasting a decline in oil and gas production in Canada to rally against the federal government’s proposed greenhouse gas emissions caps.
Alberta sheriffs have closed a problem property in Calgary, saying officers were frequently called to the Beddington Heights home because of drug activity.
Ottawa paramedics will not be calling on taxis to help transport some non-urgent patients, as the service had initially planned.
Emergency services in the town of Rigaud, Que. are investigating after a tornado touched down shortly after 5:30 p.m. on Friday.
Conditions were favourable most of the day Monday for the development of severe thunderstorms, which could have produced tornadoes. All weather watches ended in the region just before 7 p.m.
Emergency services in the town of Rigaud, Que. are investigating after a tornado touched down shortly after 5:30 p.m. on Friday.
A hanging image of Israeli Prime Minister Benjamin Netanyahu was allegedly on display for "several hours" outside McGill University on Sunday.
Tornado warnings in three regions of Quebec were downgraded to severe thunderstorm warnings within an hour of them being issued.
Jason Robertson's hat-trick goal midway through the third period broke a deadlock and proved to be the eventual winner as the Dallas Stars beat the host Edmonton Oilers 5-3 in Game 3 of the Western Conference Final to take a 2-1 series lead.
The Dallas Stars DJ has apologized for playing La Bamba after the Game 2 win over the Edmonton Oilers on Saturday.
With National Blood Donor week coming up, parents of children who receive blood transfusions and products are thanking donors for their contributions.
It’s been three days since New Brunswick Premier Blaine Higgs lashed out at a sexual health awareness presentation done by Teresa Norris and she’s still upset about it.
The Royal Newfoundland Constabulary says a 23-year-old man was arrested for drunk driving on two separate occasions overnight.
Canadian businesses and police services are working together to cut down on retail theft and violence.
Community centres in Winnipeg are ringing alarm bells over what they say is an increase in break-ins.
Three pedestrians have been hit by vehicles in Winnipeg in as many weeks, and according to the Winnipeg Police Service, these types of incidents are on the rise.
A teenage girl is facing multiple charges after assaulting a female and two officers over the weekend.
Former Government House Leader Jeremy Harrison has apologized for what he calls a "terrible mistake" after it became known that he brought a firearm into the legislature approximately a decade ago.
The Regina Police Service (RPS) has charged four individuals after a robbery took place at a hotel on the 800 block of Victoria Avenue.
After nine long years of waiting – an inquest into the death of a teen who was found unresponsive in a Regina creek is getting underway.
A rare cancer treatment could potentially extend the life of an Ontario woman. The problem is, the province won’t approve the pricey drug.
A Chihuahua is recovering after she was found abandoned in the holding tank of a public washroom at Guelph Lake.
Fairview Park Mall has once again been targeted by thieves. Police say four males, armed with hammers, robbed an unnamed store on Monday.
Former Government House Leader Jeremy Harrison has apologized for what he calls a "terrible mistake" after it became known that he brought a firearm into the legislature approximately a decade ago.
Residents of a remote village in Northern Saskatchewan are calling on government officials to visit their community and see their road conditions first hand.
Métis Nation – Saskatchewan (MN–S) has launched a new treaty document that will set the stage for self-governance.
Three northern Ont. police officers who shot and killed an Indigenous man four years ago were cleared of wrongdoing and now a coroner's inquest is underway to prevent similar incidents in the future.
A commercial driver is facing a list of charges after video surfaces of a scary near miss involving an off-duty officer and a truck full of cattle in northern Ontario last month, police say.
A bill that would ban federal employers from using replacement workers or 'scabs' during lockouts or strikes passed the House of Commons unanimously on Monday.
The London Knights withheld an early onslaught from a desperate Moose Jaw team to beat the Warriors 5-4 and stay unbeaten at the Memorial Cup in Saginaw, MI.
A youth cyclist from Southwest Middlesex in facing multiple charges after riding a bicycle on Highway 401.
At the start of his trial this morning at the London Courthouse, former Woodstock mayor Trevor Birtch pleaded not guilty to two counts of sexual assault and one count of assault.
There were dramatic moments inside an Orangeville courtroom on Monday as sentencing for an OPP officer accused of assaulting her former boyfriend two years ago was delayed.
A young G2 driver faces several criminal charges after a collision in Tay Township over the weekend.
Paul Alexander, a resident of Barrie, is embarking on a unique mission to impact his community positively.
The media has successfully argued against a publication ban on the Windsor murder trial of a Toronto man.
A motion put forward by one city councillor to reconsider the city's plan to see a luxury condo be built the Roseland Golf and Curling Club property cannot be presented, according to the city's clerk.
OPP have recovered the body of a swimmer who was reported missing on Lake St. Clair. Around 8 p.m. on Sunday, police found the remains of the 28-year-old man from St. Clair, Michigan.
A Courtenay, B.C., senior is downsizing and packing to move as she comes to accept she can no longer afford to stay in her home, after falling victim to a scam that robbed her of her life savings worth more than $100,000.
Peng-Sealin Penny is a senior on a pension and finds herself once a month coming to the Mustard Seed Food Bank in downtown Victoria for groceries. She's one of the many who rely on the non-profit to make ends meet.
Some Canadian universities are taking legal action to end pro-Palestinian encampments on their campuses, but three schools in British Columbia are taking less confrontational approaches.
Mounties in Kamloops are appealing for information after two recent reports of a man chasing children in a park.
Firefighters in Kelowna were busy on Sunday morning, knocking down two “major” structure fires.
One person is dead after a fight in Penticton early Sunday morning, according to authorities.
Lethbridge gardeners are hoping the growing season will be better than previously expected, thanks to recent rain.
Alberta's police watchdog says there will be no criminal charges for two police officers who broke rules when they surveilled a legislature member.
The entertainment and collector expo in Lethbridge got underway Friday afternoon.
Immigration is spurring growth across the north and Monday’s meeting of Northern Ontario Large Urban Mayors discussed some of the related benefits and challenges.
Incidents of harassment and intimidation targeting politicians appears to be on the rise.
As of Monday, there were still two active wildfires in northeastern Ontario with no new fires confirmed in the region over the weekend.
The Royal Newfoundland Constabulary says a 23-year-old man was arrested for drunk driving on two separate occasions overnight.
An unknown Newfoundland soldier, who fought and died on the battlefields in northeastern France during the First World War, is back home this weekend for the first time in more than a hundred years.
Canadian soldiers and government officials arrived in northeastern France this week for a historic mission: returning an unknown Newfoundland soldier back home.
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