NEW YORK (AP) — Stocks have erased big gains after traders lost some of their enthusiasm about China’s decision to let its currency appreciate against the dollar.
The initial reaction Monday to China’s announcement was that a stronger yuan compared with the dollar would allow U.S. manufacturers and exporters to be more competitive selling their products in China. But traders came to see the move as more of a long-term shift rather than something that would give the economy a boost now.
At the close, the Dow is down 8 points at 10,442 after rising four straight days. The Standard & Poor’s 500 index is down 4 at 1,113. The Nasdaq composite index is down 20 at 2,289.
Three stocks fell for every two that rose on the New York Stock Exchange. Volume came to 1.1 billion shares compared with 1.8 billion Friday.
