(Reuters) – The New York Stock Exchange opened lower on Monday, with caution in mind ahead of comments from the chairman of the Federal Reserve (Fed) scheduled for later in the day and the release of key employment data around the end of the week.
In early trading, the Dow Jones index, which closed at a record level on Friday, lost 77.94 points, or 0.18% to 42,235.06 points and the broader Standard & Poor’s 500 fell by 0. 20% to 5,726.74 points.
The Nasdaq Composite lost 0.25%, or 44.76 points, to 18,074.83.
US markets begin their final session of the month and quarter on a cautious note, as investors await comments from Fed Chairman Jerome Powell, who is scheduled to address the National Association for Business Economics in Nashville on Monday , in Tennessee, at 5:55 p.m. GMT.
The words of the head of the American central bank will be closely followed, as the Fed eased its monetary policy by 50 basis points almost a fortnight ago, fueling a rally which benefited the three main Wall Street indices, and that attention now turns to the decisions to come.
The Dow Jones and the Standard & Poor’s 500 are in fact heading for a fifth consecutive month of increases, thus breaking with the historical trend which dictates that the month of September is on average weak for stocks.
Recent data have also confirmed the trend towards moderating price pressures, while the economy is generally doing well, which should give the Fed sufficient room to maneuver to support the labor market by further reducing borrowing costs.
In this context, investors will closely follow the report on private sector job creations for the month of August, scheduled for Wednesday, and the monthly employment report on Friday, as well as the final data on economic activity scheduled throughout the week.
In terms of values, Ford and General Motors fell between 2 and 3%, after their European rivals Stellantis NV and Volkswagen both announced a reduction in their annual outlook.
Carnival, which published its quarterly results on Monday, fell 5%.
*For values ​​to track, click
(Writing by Diana Mandiá, editing by Kate Entringer)
Copyright © 2024 Thomson Reuters
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
