Stocks were looking at a mixed open on Thursday after two huge rallies on Tuesday and Wednesday.
There was some selling pressure generated by profit-taking, but specific stories were also affecting markets.
The big rally over Tuesday and Wednesday had been fueled by President Donald Trump’s backing off his criticism of the Federal Reserve and softening his tough talk about trade with China.
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Tesla (TSLA) was weaker after a report on March sales in Europe showed the electric- vehicle maker’s sales off 36% from a year ago.
Only 18,224 Tesla vehicles were reported sold in the month, according to the European Automobile Manufacturers’ Association. The decline followed a 47% slump in February registrations and a 50% drop in January.
Related: Surprising sales news sends Tesla stock tumbling
Tesla reported a 71% decline in first-quarter profit for the first quarter, and CEO Elon Musk indicated he would dial down his cost-cutting involvement in the Trump administration to spend more time on the company.
Major averages are sideways after big gains
The Standard & Poor’s 500 Index, meanwhile, was looking to open flat at around 5,400. The Nasdaq Composite Index was looking at a modest gain. The Dow Jones Industrial Average was pointing to a loss of 140 points.
Traders work on the floor of the New York Stock Exchange on Tuesday.
Michael M. Santiago/Getty Images
Procter & Gamble weighs on the Dow
One reason for the Dow’s weakness was Procter & Gamble (PG) , which cut its guidance for adjusted earnings per share. The shares were off 1.2% to $163.79 premarket after falling 1.3% to $165.73 on Wednesday.
Related: Analysts reboot AMD stock price target ahead of earnings
In addition, PepsiCo (PEP) fell slightly in premarket trading. The beverage and snack maker trimmed its full-year earnings guidance, citing increased costs from tariffs and a pullback in consumer spending.
A 25% tariff on imported aluminum for cans is among those hitting PepsiCo and other beverage makers.
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Airline shares were weak after both Alaska Airlines (ALK) and Southwest Airlines (LUV) withdrew their earnings guidance for the year. Alaska Air shares were off more than 7% before the open. Southwest was off more than 3%.
Gold and crude oil move higher
Gold and crude oil were both higher in futures trading. Gold was up $55 to $3,349 an ounce. It had peaked at $3,509 an ounce on Tuesday.
Crude oil rose 72 cents to about $63 a barrel. It had been pressured for several days by a higher dollar and talk from members of the Organization of Petroleum Exporting Countries about boosting output. The possibility of easing U.S.-China tensions also helped prices.
Related: Veteran fund manager unveils eye-popping S&P 500 forecast
