NEW YORK — Stocks fell modestly Tuesday as investors took a breather from a market that notched yet another record high the day before.
The market has hit several all-time highs in recent months, but with the holiday season and end of the year approaching many investors expect the market to be calm as 2013 winds down.
“It’s quiet, and the only trading that will go on the rest of this year will be people selling for tax reasons and window dressing,” said Jack Ablin, chief investment officer for BMO Private Bank, which manages $66 billion of assets.
It’s a common practice for portfolio managers, in the last couple weeks of the year, to close out positions, sell off poor-performing stocks and try to make portfolios look as good as they possibly can when they mail their year-end statements to investors. On Wall Street, the practice is sometimes called “window dressing.”
The Dow Jones industrial average fell 52.40 points, or 0.3 percent, to 15,973.13.
The Standard & Poor’s 500 index lost 5.75 points, or 0.3 percent, to 1,802.62. The index hit an all-time high Monday.
The Nasdaq composite lost 8.26 points, or 0.2 percent, to 4,060.49.