NEW YORK (AP) — U.S. stocks were volatile Monday as Wall Street held firm after a lot. the meeting Continue President Donald Trump Victory is scattered.
The S&P 500 was little changed in early trading. As of 9:35 a.m. ET, the Dow Jones Industrial Average was down 84 points, or 0.2%, while the Nasdaq Composite was up 0.1%.
trading spirit airlines The shares were suspended after the low-cost airline announced it had reached an agreement with its debtors on a plan to file for Chapter 11 bankruptcy protection. The airline will continue to operate in bankruptcy, but all current stock investors will likely lose their holdings.
Meanwhile, CVS Health, which added four new directors to its board of directors, rose 1.9%. The medical giant took this step after consulting with its major investor, hedge fund owner Glenview Capital Management. Larry Robbins, the company's CEO, is one of the new directors.
Stocks collectively gave back more than half of their post-election gains as of last weekend, with the S&P 500 index falling to its worst decline since before Election Day on Friday. Investors initially drove the S&P 500 index up nearly 4% in the days immediately following President Trump's victory. Bank stocks, small and medium-sized companies, etc. Area considered to be the largest within the market Winner according to the wishes of the next president Lower tax rates, higher tariffs, and relaxed regulations There was a particularly big profit.
But recently, investors have been bracing for some of the potential downsides that President Trump's economic restructuring could bring to the market. Moderna rose 1.3% on Monday but is still down since President Trump said he wanted the high-profile Robert F. Kennedy Jr. anti-vaccine activistto guide Ministry of Health and Human Services.
Something to worry about Potentially higher inflation Yields on government bonds in the bond market are also rising due to higher tariffs and a widening U.S. government deficit. Such an outcome could tie the Fed's hands as it tries to lower interest rates to ease the brakes on the economy and keep the job market humming.
Lower interest rates can boost growth, but they can also spur inflation.
“Traders appear to be assessing the potential economic impact of the new Trump administration's policies and the likelihood that the Fed will slow its rate-cutting campaign,” said Chris Larkin, managing director of trading and investments at E-. ” he said. Transactions from Morgan Stanley.
Higher interest rates and yields put pressure on companies to generate higher profits to make their stock prices look cheap. Their prices are already rising much faster than their revenues.
