* Brent crude reverses course after hitting 18-month high
* Dollar hits 14-year high following robust economic data
* Verizon rises on Citigroup upgrade
* Indexes up: Dow 0.17 pct, S&P 0.42 pct, Nasdaq 0.42 pct
(Updates to early afternoon)
By Yashaswini Swamynathan
Jan 3 Wall Street rose on Tuesday as a
post-election rally extended into the new year, but stocks pared
some of their early gains after oil prices lost ground due to a
Oil prices fell from their 18-month high and were down more
than 2 percent as the dollar surged to a 14-year high, supported
by strong U.S. manufacturing data.
The retreat in stocks meant the Dow Jones Industrial Average
pulled further away from the elusive 20,000 mark.
The Dow came within a hair's breadth of the historic
milestone in December as investors bet that President-elect
Donald Trump would introduce market friendly policies such as
tax cuts and simpler regulation.
The average rose to as much as 19,938.53 earlier in the
session on Tuesday, helped by Goldman Sachs and Walt
At 12:31 p.m. ET (1731 GMT), the Dow Jones was up
34.3 points, or 0.17 percent, at 19,796.9, the S&P 500
was up 9.49 points, or 0.42 percent, at 2,248.32 and the Nasdaq
Composite index was up 22.74 points, or 0.42 percent, at
"The market is picking up where it left off since the Trump
presidency," said Thomas Wilson, senior investment manager at
"What you are seeing is the market moving up in anticipation
of fiscal expansion and a potential reflation trade that will
replace what has been a monetary policy-driven market for the
last several years."
Tech stocks were the main drivers of the gains on Wall
Street on Tuesday, with the S&P 500 technology sector
rising 0.5 percent and giving the broader index its biggest
Healthcare stocks followed, with a 0.86 percent
Ten of the 11 major S&P 500 indexes were higher, with the
defensive real estate and consumer staples
sectors bringing up the rear.
Utilities, another defensive sector, was the only
one in the red.
Verizon gave the biggest boost to the S&P, rising
2.1 percent after Citigroup upgraded the stock to "buy".
Marathon Petroleum rose 5.2 percent to $52.99 after
the company said it would explore a spinoff of its retail
business, caving to pressure from activist investor Elliott
Advancing issues outnumbered decliners on the NYSE by 1,974
to 931. On the Nasdaq, 1,595 issues rose and 1,240 fell.
The S&P 500 index showed 17 new 52-week highs and one new
lows, while the Nasdaq recorded 106 new highs and 16 new lows.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by