* DuPont drops as outlook cut
* Russell reconstitution may drive up volume at close
* Consumer sentiment rises in June - U Mich
* Indexes: Dow off 0.2 pct, S&P down 0.1 pct, Nasdaq up 0.2
(Updates to afternoon trading, changes byline)
By Caroline Valetkevitch
NEW YORK, June 27 The Dow and S&P 500 edged
lower on Friday following a downbeat second-quarter forecast
from DuPont, though consumer sentiment data helped
support the market.
DuPont shares lost 4 percent to $65 and were among the
biggest negative influences for the Dow and S&P 500, a day after
it cut its operating profit forecast for the quarter and full
year, mainly due to a worse-than-expected performance at its
agriculture and performance chemicals units.
It was among the latest companies to warn on the quarter,
with the ratio of negative to positive outlooks at 4.2 to 1,
higher than the long-term average of 2.6 to 1, Thomson Reuters
"I think what we're in the midst of is a mini correction in
which prices have finally achieved a certain valuation level
that has become increasingly uncomfortable for market
participants in the absence of further decisive evidence that
the economy is on the right track," said Mark Luschini, chief
investment strategist at Janney Montgomery Scott in
Among the day's positives, U.S. consumer sentiment rose more
than expected, according to the Thomson Reuters/University of
Michigan's final June reading, though that follows weak reads on
consumer spending and first-quarter economic activity earlier
Trading volume, which has been below average in recent
weeks, could see heavy action going into the close as Russell
Investments announces the final reconstitution of its indexes,
affecting more than $5 trillion in assets.
The Dow Jones industrial average fell 42.93 points or
0.25 percent, to 16,803.2, the S&P 500 lost 1.75 points
or 0.09 percent, to 1,955.47 and the Nasdaq Composite
added 8.08 points or 0.18 percent, to 4,387.13.
The Dow and S&P 500 were on track for declines for the week,
though Wall Street's 2014 rally was expected to continue into
the second half of the year.
A Reuters poll on Thursday showed the S&P 500 is expected to
hit 2,000 before the end of 2014.
Among gainers, Nike Inc rose 1.3 percent to $77.84 a
day after its fourth-quarter earnings beat expectations.
(Additional reporting by Ryan Vlastelica; Editing by Bernadette
Baum and Nick Zieminski)