Stock Market Update

[BRIEFING.COM] The stock market opened to losses across the board. The S&P 500 is about 15 points below its prior close, or 0.1% lower. Losses in the mega cap space have weighing on the broader equity market, but there are signs of buying activity under the index surface.

The Invesco S&P 500 Equal Weight ETF (RSP) is 0.2% higher than its prior close and market breadth is positive at the NYSE. Advancers lead decliners by an 11-to-10 margin. 

There's still an expectation for some consolidation after a big run, and market participants are grappling with mixed corporate and economic news.

Total industrial production was flat month-over-month in April (Briefing.com consensus 0.3%) following an unrevised 0.3% decline in March. The capacity utilization rate dipped to 77.7% (Briefing.com consensus 77.9%) from an unrevised 77.8% in March. Total industrial production increased 1.5% yr/yr while the capacity utilization rate was 1.9 percentage points below its long-run average.

The key takeaway from the report is that manufacturing output was weak. Excluding motor vehicles and parts, manufacturing output still decreased 0.3%, presumably with the tariff uncertainty holding back total output.