US STOCKS-Wall St edges lower as small-caps again weigh

miércoles 14 de mayo de 2014 11:20 GYT

* Investors watch struggling small-cap index

* Deere shares fall after results, Macy's up

* Dow, S&P 500 and Nasdaq all down 0.3 pct (Updates to midday trading)

By Ryan Vlastelica

NEW YORK, May 14 (Reuters) - U.S. stocks edged lower on Wednesday, with the Dow and S&P 500 both coming off their record closing highs, though losses were concentrated in small-cap names.

Major indexes dipped only slightly, but the S&P small-cap index lost 1.1 percent. The Russell 2000 index of small-cap stocks was off 0.7 percent, extending a divergence that has been pronounced throughout 2014. While the S&P is up 2.4 percent on the year, the Russell is down 4.5 percent.

Some analysts are concerned that persistent weakness in small-caps could spread throughout the market.

"From a market perspective, some of the assumptions we had coming into the year, like strengthening growth and improved revenue, haven't come through at the pace we expected, which is why you're seeing a rotation from small growth names into value and defensive ones," said Oliver Pursche, president of Gary Goldberg Financial Services in Suffern, New York.

Pursche added that while the S&P's record didn't mean it was overvalued, "a 5-percent correction is always possible."   Continuación...