U.S. stocks traded in choppy trading on Monday as investors weighed in on the impending interest rate cuts and braced for a busy week dominated by Nvidia’s (NVDA) earnings report.
The Dow Jones Industrial Average (DJI) gained as much as 200 points to a new intraday record, before falling back 0.3%. The S&P 500 (GSPC) slipped 0.2%, while the tech-heavy Nasdaq Composite (IXIC) fell 1% as shares of chip giant Nvidia tumbled.
Tesla (TSLA) stock also fell 3%, contributing to losses in the Nasdaq and S&P 500.
Stocks posted weekly gains after Fed Chairman Jerome Powell made clear the Fed was ready to cut rates in September. Major stock indexes all gained more than 1% last week.
Markets have been quick to price in rate cuts totaling 1% by the end of 2024. But with just three Fed meetings left in the year—in September, November and December—and the August jobs report yet to be released, Wall Street is wondering when and if a 0.5% cut is likely.
Attention now turns to Nvidia’s earnings, the week’s headline event, which will likely determine whether market sentiment remains positive. If the chipmaker’s results fall short of sky-high expectations, it could further hurt the AI sector that has fueled stock gains and, in turn, challenge the market’s rebound from August lows.
The PCE index, a favorite gauge of Fed officials, is also due out Friday, and is expected to factor into calculations of the path of rates. Second-quarter GDP will also be released Thursday.
Meanwhile, oil prices jumped about 3% on reports of production shutdowns in Libya and fears of escalating tensions in the Middle East following Israeli and Hezbollah strikes. Brent crude futures (BZ=F), the global benchmark, climbed to $80.08 a barrel, while WTI crude futures (CL=F), the U.S. benchmark, changed hands at $77.19 a barrel.
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McLaren CEO wants to follow Ferrari’s success model, but without ‘arrogance’
Yahoo Finance’s Pras Subramanian reports:
CARMEL, Calif. — McLaren CEO Michael Leiters believes the British luxury supercar maker can succeed like Ferrari, but in a somewhat different way.
“Our brand has one element, and that’s ownership,” Leiters, who has been at the helm of McLaren for two years after serving eight years as Ferrari’s technical director, said in an interview with Yahoo Finance during Monterey Car Week. “We want to have people here. … We talk to everybody, without arrogance.”
This could be interpreted as a thinly veiled attack on Ferrari, given that the Italian luxury sports car maker is known for its secretive nature, invitation-only events and selling new vehicles only to current or select customers.
Read more here.
Dow jumps 200 points as Nasdaq falls, Nvidia down 2%
Markets diverged on Monday as the Dow Jones Industrial Average (^DJI) rose more than 200 points to hit a new intraday record high.
The S&P 500 (^GSPC) erased earlier gains to fall 0.3%, while the tech-heavy Nasdaq Composite (^IXIC) fell more than 1%, led by a drop in shares of Nvidia (NVDA).
The AI chip heavyweight will report quarterly results on Wednesday after the market closes.
Electric vehicle giant Tesla (TSLA) also fell more than 3%, weighing on the S&P 500 and Nasdaq.
Dow Jones gains 200 points, hits intraday record
The Dow Jones Industrial Average (^DJI) rose more than 200 points, or 0.5%, Monday morning, hitting a new intraday record high of 41,394.10.
Energy and materials stocks were the biggest gainers Monday. Technology stocks lagged, with the tech-heavy Nasdaq Composite (^IXIC) down as much as 0.7%, while the S&P 500 (^GSPC) edged lower.
S&P 500 advances, nears record high
The S&P 500 Index (^GSPC) rose 0.3% on Monday, moving closer to its July record highs. The index was less than 0.5% from its all-time high closing high of 5,667.20 on July 16.
The Dow Jones Industrial Average (DJI) rose 0.3% on Monday. The tech-heavy Nasdaq Composite (IXIC) broke above the breakout line after opening slightly lower.
Stocks open mixed as investors focus on Nvidia’s results this week
Stocks were mixed on Monday as investors turned their attention to a busy week kicked off by Nvidia’s (NVDA) earnings report.
The S&P 500 Index (GSPC) rose about 0.1%, while the Dow Jones Industrial Average (DJI) gained about 0.2%. The tech-heavy Nasdaq Composite (IXIC) slipped just below the flat line after the major indexes rallied on Friday.
This week, the spotlight is on Nvidia’s earnings. These results are very important because the AI chip giant has been one of the biggest movers in the markets this year. Nvidia shares were little changed Monday morning after rising 4.5% on Friday.
Stocks hit new records Friday after Fed Chairman Jerome Powell made clear the central bank is ready to cut rates in September. The benchmark S&P 500 index is less than 1% from its all-time closing high set in July.
Aimant les mots, Sara Smith a commencé à écrire dès son plus jeune âge. En tant qu'éditeur en chef de son journal scolaire, il met en valeur ses compétences en racontant des récits impactants. Smith a ensuite étudié le journalisme à l'université Columbia, où il est diplômé en tête de sa classe.
Après avoir étudié au New York Times, Sara décroche un poste de journaliste de nouvelles. Depuis dix ans, il a couvert des événements majeurs tels que les élections présidentielles et les catastrophes naturelles. Il a été acclamé pour sa capacité à créer des récits captivants qui capturent l'expérience humaine.
