US STOCKS-Wall St dips after Yellen comments on valuations

martes 15 de julio de 2014 11:00 GYT

* JPMorgan, Goldman up after earnings

* Johnson & Johnson falls after results

* New York manufacturing hits highest level since April 2010

* Indexes off: Dow 0.03 pct, S&P 0.21 pct, Nasdaq 0.59 pct (Updates to market open, adds Yellen comments, quote)

By Chuck Mikolajczak

NEW YORK, July 15 (Reuters) - U.S. stocks edged lower on Tuesday, pulling back from modest gains on weakness in small-cap and momentum names after U.S. Federal Reserve Chair Janet Yellen expressed concerns about their valuations.

In the monetary policy report accompanying her Congressional testimony, Yellen said, "equity valuations of smaller firms as well as social media and biotechnology firms appear to be stretched."

The Russell 2000 small-cap index lost 1.1 percent and the Global X Social Media ETF dropped 1.9 percent. Facebook shares lost 2 percent to $66.55.

"She signaled in her comments about extreme valuations in biotech and social media. And that seems to be an addendum to her text," said Fred Dickson, chief market strategist at D.A. Davidson & Co in Lake Oswego, Oregon.   Continuación...