Materials Down Amid Weak Earnings -- Materials Roundup

Shares of commodity producers fell amid weak earnings reports.

Brazilian iron-ore miner Vale reported a sharp drop in second-quarter earnings despite increased production as asset write-downs, higher costs and financial losses weighed on its bottom line.

Gold futures rose as most investors read the Federal Reserve's latest statement as a hint that it was pulling back from rate-hike plans.

One brokerage said steel makers and other cyclical companies remain in a strong position even as interest rates looked set to creep higher. "The combination of pricing power and improving asset turnover favors cyclicals," Jefferies analysts wrote in a research note.

Rob Curran,

(END) Dow Jones Newswires

July 27, 2017 17:14 ET (21:14 GMT)