US STOCKS-Wall Street steps back from record highs
* Energy shares surge on oil rally
* Drugmakers Bristol-Myers, Allergan, Merck drop
* Indexes down: Dow 0.2 pct, S&P 0.21 pct, Nasdaq 0.34 pct (Updates to afternoon)
By Noel Randewich
Aug 8 (Reuters) - Wall Street retreated from record highs on Monday as a drop in healthcare stocks offset the impact of higher oil prices on energy stocks and a strong jobs report.
A rally to several all-time highs since late June has left the S&P 500 up nearly 7 percent in 2016, with many investors concerned about stretched valuations.
"This is a natural pause for reflection by the markets. Everyone is sitting there saying 'Holy cow, what did we do?'," said Brad McMillan, chief investment officer at Commonwealth Financial Network.
"Momentum is a big part of it. People are afraid of missing out."
Pressured by losses in Bristol-Myers, Merck and Allergan, the S&P 500 healthcare index dipped 1 percent while the Nasdaq biotech index dropped 1.2 percent. Continuación...