Traders are working at the New York Stock Exchange (NYSE) on February 29, 2024.
Brendan McDermid | Reuters
U.S. stocks fell on Monday, extending last week's losses as investors braced for new inflation data.
that much Dow Jones Industrial Average It fell 75 points, or 0.2%. that much S&P 500 and Nasdaq Composite Each fell 0.2%.
nvidia There was another decline since Friday, marking the worst one-day move since late May. super micro computerwhich is also an AI-focused stock, fell more than 8%.
meta Facebook's parent company also suffered, falling more than 5%.
Traders are preparing for the February Consumer and Producer Price Indexes due to be released on Tuesday and Thursday respectively. This is one of the last major economic reports before Federal Reserve leaders convene for their March policy meeting.
The announcement comes after the February jobs report on Friday gave investors mixed signals about when exactly the Federal Reserve will begin cutting interest rates. The U.S. economy has created more jobs than economists expected, but high unemployment and lower-than-expected wage growth were encouraging signs that the central bank may begin to ease monetary policy.
“We don’t expect the Fed to cut interest rates when it meets later this month,” said Mike Dickson, head of research at Horizon Investments. “Given the recent surge, we expect the Fed to hold off until core services inflation has been lower for at least three consecutive months, which could mean as early as June, or late 2024 if services inflation remains sticky.”
Monday's action follows a week in which major averages fell. In particular, the 30-stock Dow recorded its worst weekly performance since October.