Major stock indexes opened lower, then recovered a bit. Treasury yields rose in early trading but also reversed. Stocks are coming off a two-week rally during which the S&P 500 rose in nine of 10 sessions.
This week’s big markets event: Tuesday’s inflation reading, which is expected to show U.S. consumer-price growth slowed last month. Retail-sales data out Wednesday will shape GDP forecasts. Presidents Biden and Xi are gearing up to meet in San Francisco.
Stocks had a quiet day. The Dow Jones Industrial Average added 55 points, or about 0.2%. The Nasdaq Composite fell 0.2%, while the S&P 500 was little changed. The Dow got some help from Boeing, which rose 4%.
Investors are positioning for a year-end rally, options-market data suggests, after the Federal Reserve hinted it probably won’t raise interest rates again in 2023.
Nvidia rose, logging a ninth straight daily advance, though an index of chip stocks moved lower.
Treasury yields ticked higher. The 10-year yield settled at at 4.631%, up slightly from 4.627% late Friday. Yields edged up late Friday after Moody’s Investors Service cut its outlook for the U.S. government’s credit rating to negative. Many investors have cited swelling deficits as a worry of late.
Oil prices wavered, with U.S. crude settling up 1.4% at just above $78 a barrel. Weakening demand has pulled down crude prices recently, helping damp inflation.
Overseas markets finished mixed. Travel-and-leisure stocks boosted the Stoxx Europe 600. Japanese and mainland Chinese indexes were little changed.
