North American stopped dipped into the red at the start of trading on Wednesday, following a disappointing reading on U.S. durable goods orders for July.
The Dow Jones industrial average fell 61 points or 0.6 per cent, to 9979 - taking it back below the 10,000 threshold. The broader S&P 500 fell 10 points or 1 per cent, to 1041. In Canada, the S&P/TSX composite index fell 30 points or 0.3 per cent, top 11,527.
Durable goods orders for July rose just 0.3 per cent, less than expected but following a string of disappointing economic reports that suggest the recovery is faltering. Stocks with a big exposure to the economy were hit harder than defensive stocks. Caterpillar Inc. fell 2 per cent, General Electric Co. fell 1.7 per cent, Bank of America Co. fell 1.3 per cent and Cisco Systems Inc. fell 1.1 per cent.
However, Toll Brothers Inc. rose 2.8 per cent after the U.S. homebuilder swung to a profit in the most recent quarter.
Among Canadian stocks, Canadian Imperial Bank of Commerce rose 2 per cent after the bank reported fiscal third quarter earnings that topped expectations. The "beat" sent other financial stocks higher as the earnings season for the Big Banks unfolds. Bank of Nova Scotia rose 0.4 per cent and Bank of Montreal - which reported its quarterly results on Tuesday, missing expectations - rose 0.2 per cent.