* Home Depot top stock on Dow and S&P after profit beat
* Pfizer down after Citi cuts to "sell"
* Dollar hits 6-month low; gold up
* Dow down 0.07 pct, S&P down 0.13 pct, Nasdaq up 0.02 pct
(Adds details, comments, updates prices)
By Yashaswini Swamynathan
May 16 U.S. stocks reversed course as some
investors locked in gains after the S&P 500 and the Nasdaq hit
record highs, with healthcare and industrial stocks leading the
While strong first-quarter earnings supported the indexes in
the past few weeks, global geopolitical tensions and
developments in Washington could unsettle the market's
Investors turned cautious after reports that President
Donald Trump disclosed highly classified information to Russia's
foreign minister about a planned Islamic State operation.
The latest development could distract the Trump
administration from its priorities such as tax reform,
healthcare and simpler regulations.
The dollar index - which measures the greenback
against six other major currencies - hit a six-month low, while
prices of safe-haven gold rose.
"This kind of backdrop is very conducive to stock-pickers
and that is helping drive idiosyncratic positions across
markets," said Matt Miskin, senior capital markets research
analyst at John Hancock Investments in Boston, Massachusetts.
Home Depot's first-quarter performance was a bright
spot. The stock gave the biggest boost to the S&P 500 and the
Dow with a 1.7 percent gain.
A report from the Federal Reserve showed U.S. factory output
in April rose at its fastest clip in three years, supporting a
view that economic growth was rebounding in the second quarter
after a sluggish start to the year.
"As long as we have growth, whether it is earnings or
economic data, the markets are likely to be able to take such
(political) headlines in stride," Miskin said.
At 11:05 a.m. ET (1505 GMT), the Dow Jones Industrial
Average was down 15.73 points, or 0.07 percent, at
20,966.21, the S&P 500 was down 3.09 points, or 0.13
percent, at 2,399.23 and the Nasdaq Composite index was
up 1.06 points, or 0.02 percent, at 6,150.73.
Ten of the 11 major S&P 500 sectors were lower. Healthcare
was the top loser with a 0.5 percent decline.
Pfizer was down 1.8 percent at $32.54 after
Citigroup downgraded the drug developer's stock to "sell" from
Staples was off 5 percent and was the top
percentage loser on the S&P 500 after the office supplies
retailer reported a decline in quarterly sales.
Akebia Therapeutics was up 15 percent at $14.85
after the drug developer entered into an agreement with Vifor
Pharma Group, which also made a $50 million equity investment in
Declining issues outnumbered advancers on the NYSE by 1,755
to 978. On the Nasdaq, 1,686 issues fell and 979 advanced.
The S&P 500 index showed 50 new 52-week highs and 12 new
lows, while the Nasdaq recorded 85 new highs and 40 new lows.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by