* Energy shares weaker as oil dips
* Netflix slips ahead of quarterly report
* Fed's Fischer says "not that simple" to raise rates
* Indexes down: Dow 0.31 pct, S&P 0.29 pct, Nasdaq 0.26 pct
(Updates to late afternoon trading, changes byline)
By Chuck Mikolajczak
NEW YORK, Oct 17 Wall Street was modestly lower
on Monday as energy stocks slipped along with oil prices, while
Amazon and Netflix weighed on consumer discretionary stocks.
Federal Reserve Vice Chairman Stanley Fischer warned that
economic stability could be threatened by low interest rates and
noted the central bank is "very close" to its employment and
inflation targets, but said it was "not that simple" for the Fed
to raise rates.
The comments from Fischer, a dove who has supported a rate
hike, come even as other Fed officials have recently said the
current state of affairs may be about as good as it gets.
The central bank's lack of clarity on the timing of a rate
hike is seen aggravating the uncertainty in the markets that has
been sparked by changing dynamics in a tumultuous U.S.
presidential election and nervousness regarding third-quarter
"We've got a bunch of uncertainty coming up. You have first
the election, then you have the OPEC meeting where they are
finally going to actually say what they are going to do and at
some point here you probably have a 25-basis point increase in
the Fed funds rate," said Tim Ghriskey, chief investment officer
of Solaris Group in Bedford Hills, New York.
Energy stocks were 0.6 percent lower as U.S. oil
prices settled down 0.8 percent at $49.94 while Brent
crude settled down 0.8 percent at $51.52 a barrel.
Comments from the Iranian vice president about regaining market
share added to bearish sentiment, although losses were curbed by
expectations of an upcoming OPEC production cut.
Investors are looking for corporate profits to turn a corner
in the third-quarter after a string of declines. With 7 percent
of S&P 500 companies having reported through Monday morning,
expectations are for a decline of 0.1 percent for the quarter,
an improvement from the 0.5 percent decline expected on Oct. 1,
according to Thomson Reuters data.
The Dow Jones industrial average fell 56.87 points,
or 0.31 percent, to 18,081.51, the S&P 500 lost 6.18
points, or 0.29 percent, to 2,126.8 and the Nasdaq Composite
dropped 13.34 points, or 0.26 percent, to 5,200.82.
Bank of America Corp shares edged up 0.3 percent as
its profit rose for the first time in three quarters and topped
Netflix Inc fell 1.4 percent as analysts anticipate
weakness in subscriber growth when the video streaming website
reports third-quarter results after markets close.
Amazon.com Inc lost 1.1 percent, on track for its
third straight decline, along with Netflix dragged the consumer
discretionary sector 0.7 percent lower.
Hasbro Inc, however, was a bright spot, surging 8.2
percent after the toymaker's better-than-expected quarterly
Declining issues outnumbered advancing ones on the NYSE by a
1.35-to-1 ratio; on Nasdaq, a 1.44-to-1 ratio favored decliners.
The S&P 500 posted no new 52-week highs and seven new lows;
the Nasdaq Composite recorded 21 new highs and 83 new lows.
(Reporting by Chuck Mikolajczak; Editing by Lisa Shumaker)