* S&P, Nasdaq hit record highs on Tuesday
* Walt Disney drops after results, weighs on Dow and S&P
* Priceline falls on weak profit estimate
* Indexes down: Dow 0.25 pct, S&P 0.11 pct, Nasdaq 0.1 pct
(Updates to open)
By Yashaswini Swamynathan
May 10 U.S. stocks were slightly lower on
Wednesday, dragged down by Walt Disney's disappointing results,
while investors turned cautious after President Donald Trump
fired his FBI chief.
Disney fell 2.5 percent and was the top drag on the
Dow and the S&P 500 after the media company reported quarterly
revenue below analysts' expectations.
Trump said he fired FBI Director James Comey, who had been
leading an investigation into his 2016 presidential campaign's
possible collusion with Russia, over his handling of an email
scandal involving then-Democratic presidential nominee Hillary
Analysts say the development could distract Trump from
pursuing his promises, including the highly anticipated reform
of the U.S. tax code.
"I think the biggest issue is what this does to the Trump
agenda on taxes," Matthew Peterson, chief wealth strategist for
LPL Financial wrote in a note.
"The market really is expecting a cut. We still feel it's a
matter of when, not if a cut happens. But any thought this gets
pushed to '18 is a market negative."
Demand for safe-haven assets like gold, bonds and the
Japanese yen rose, while the dollar fell.
Wall Street closed slightly lower on Tuesday after the S&P
hit a record intraday high for the second straight day and the
VIX fell to a decade low.
"The domestic political storm is a perfect excuse for the
indices to take a badly needed rest," Peter Cardillo, chief
market economist at First Standard Financial wrote.
At 9:40 a.m. ET (1340 GMT), the Dow Jones Industrial Average
was down 52.07 points, or 0.25 percent, at 20,923.71, the
S&P 500 was down 2.54 points, or 0.11 percent, at
2,394.38 and the Nasdaq Composite was down 5.90 points,
or 0.1 percent, at 6,114.69.
Six of the 11 major S&P 500 sectors were lower, with
consumer discretionary dropping 0.6 percent due to
Disney and Priceline.
Shares of Priceline tumbled 5 percent to $1,815
after the travel website operator issued a current quarter
earnings estimate that missed analysts' expectations.
Nvidia surged nearly 14 percent after the chipmaker
reported a better-than-expected jump in quarterly revenue.
Shares of rival AMD also rose.
Allergan was off 2 percent at $233.72 after the
drugmaker recorded a quarterly loss.
Advancing issues outnumbered decliners on the NYSE by 1,322
to 1,225. On the Nasdaq, 1,299 issues fell and 977 advanced.
The S&P 500 index showed 13 52-week highs and one low, while
the Nasdaq recorded 56 highs and 23 lows.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by