Nvidia Earnings Report May Spark Market Swings
US stocks experienced a mixed finish on Monday as investors await key market-moving events scheduled for later in the week. The S&P 500 slipped 0.3% and pulled away from its all-time high set earlier this month.
The Dow Jones Industrial Average rose by 140 points, or 0.3%, while the Nasdaq composite fell by 0.8%. Tech stocks led the decline, with Nvidia sinking 2.9% due to concerns about artificial-intelligence technology prices being too high and unsustainable demand for AI chips.
Nvidia's quarterly earnings report on Wednesday may dictate the next major move in AI-related stocks. Micron Technology fell by 5.8%, and Broadcom dropped by 2.6%, contributing to the S&P 500's decline of 21.51 points to 7,652.86.
The bond market also played a role in Monday's stock performance. Longer-term Treasury yields rose this summer due to high inflation concerns, government debt issues, and expensive oil prices caused by the Iran war.