Stocks fell on Monday in a choppy session to start a short trading week due to the Thanksgiving holiday.
Fears that China may again ramp up Covid restrictions After reporting deaths from the virus It affected the markets, which led to a drop in energy stocks and oil prices. Traders also looked for more signals from the Federal Reserve about raising interest rates in the future.
The S&P 500 fell 0.39% to 3949.94, and the Nasdaq Composite fell 1.09% to end the day at 11024.51. The Dow Jones Industrial Average fell 45.41 points, or 0.13%, to 33,700.28, although losses on the index were mitigated by a jump in Disney Involved.
Art Hogan, chief market strategist at B.V.
Shares of Disney rose 6.3% after the company announced that former CEO Bob Iger would return to helm the entertainment giant. Replace the pop net immediately. Iger’s return to Disney ends a brief and rocky period for Chapek, who took over as CEO in February 2020.
The recent rally in the bear market is likely on hold due to a shorter trading week for the Thanksgiving holiday, which could see increased volatility and lower volumes as traders take time off. Earlier in the month, stocks rose with the October CPI reading and gained some traction with last week’s wholesale price reading.
Traders continue to monitor the messages from Federal Reserve officials after last week when they reassessed their optimism about the possibility of a slowdown in inflation. On Monday, Cleveland Fed President Loretta Mester reiterated that Prices will continue to risebut it may be smaller in the future.
The market will get more information about the central bank’s future path to digest when St. Louis Fed President James Bullard speaks on Tuesday.
“With 375 basis points of Fed rate hikes so far, an inverted yield curve, sharp rises in inflation, and commodity prices still part of the narrative, we can all conclude that we are late in the economic cycle,” Liz Young, SoFi’s chief investment strategy, said in a note. End of this week.
The New York Stock Exchange will be closed on Thursday for Thanksgiving, and the trading day will be shorter on Friday. This week, traders will be absorbing more rhetoric from Federal Reserve leaders as well as earnings reports from Best Buy, Nordstrom, Dick’s Sporting Goods and Dollar Tree.