Stocks were mixed on Thursday, led by sharp gains in the technology sector. However, gains were capped amid lingering concern over U.S.-China trade negotiations.
The Dow Jones Industrial Average went south 21.93 points to pause for lunch Thursday at 24,553.69
The S&P 500 was better by 0.57 points to 2,639.27, as tech gained 1%.
The NASDAQ Composite remained afloat 32.57 points to 7,058.33
Both the Dow and S&P 500 initially traded lower after Commerce Secretary Wilbur Ross said China and the U.S. were not close to striking a trade deal.
Ross told the media that the U.S. is “miles and miles” from a trade deal with China, adding the two countries have “lots and lots of issues.”
His comments come as China and the U.S. try to strike a trade deal before the beginning of March. If they don't, additional U.S. tariffs on Chinese goods will come into effect. The two countries have been engaged in a trade war since last year.
Solid earnings reports helped lessen the blow from Ross' comments on Thursday. Bristol-Myers Squibb, American Airlines and JetBlue were among the companies that posted better-than-expected earnings. Results from Citrix and Texas Instruments also topped estimates.
The earnings season continues later on Thursday, with Intel, Starbucks and Western Digital among the companies scheduled to report after the close.
Investors also kept an eye on Washington as the U.S. government shutdown entered its 34th straight day.
House Speaker Nancy Pelosi said Wednesday that Democrats would block President Donald Trump from delivering his State of the Union address until the government reopened – an announcement that Trump complied with.
For now, the U.S. labour market appears to be holding up well. Weekly jobless claims fell to 199,000 last week, their lowest in 49 years.
Prices for the benchmark for the 10-year U.S. Treasury gained ground, lowering yields to 2.71% from Wednesday's 2.75%. Treasury prices and yields move in opposite directions.
Oil prices inched up 65 cents to $53.27 U.S. a barrel.
Gold prices slid $2.70 to $1,281.30 U.S. an ounce.