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 NEW YORK (AP) - Wall Street pulled back Tuesday after lackluster profits at Best Buy Inc. stirred concerns about flagging consumer spending and a report that new home construction fell in May also unnerved investors.
Electronics chain Best Buy Co. fell $2.23, or 4.6 percent, to $45.78 after warning of an uncertain consumer spending environment and lowering its fiscal 2008 profit forecast. The company also said its fiscal first-quarter earnings fell 18 percent amid weak profits in China and increased sales of lower-margin products such as notebook computers.
Although investors were expecting a decline in home construction, they appeared concerned about the Commerce Department report showing construction of new homes and apartments dropped by 2.1 percent last month. The drop followed small gains in April and March and marked the steepest drop since January, when construction plunged 13.9 percent.
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