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Live Stock Market News Updates: Stocks end mixed as tech stocks come under renewed pressure: Nasdaq falls 1.2%

US stocks ended Monday on a mixed note, with stocks struggling for direction as concerns persisted over growth prospects amid elevated inflation.

The S&P 500 ended a choppy session lower, falling 0.4% to 4,008.01. The Nasdaq fell 1.2% to 11,662.79 as mega-cap tech companies like Apple (AAPL) fell, dragging the index lower. The Dow Jones Industrial Average closed slightly higher, hitting 32,223.42.

US crude oil prices (CL=F) erased earlier losses and rose even after fresh economic data from China came in weaker than expected as the country’s latest wave of virus-related restrictions restricted mobility. China’s retail sales fell 11.1% yoy in April, the worst drop since March 2020, while industrial production unexpectedly fell 2.9% yoy.

Monday’s move lower in risk assets extended recent volatility in markets. Stocks ended last week with a sixth straight weekly loss, taking the S&P 500 as a whole 16.1% below its Jan. 3 record high. That, in turn, comes as investors weighed the risks of a deeper economic downturn as the Federal Reserve tries to stem inflation, which is near its highest level in four decades, Ukraine’s geopolitical turmoil continues and China struggles with its biggest COVID outbreak since 2020.

And amid these concerns, Wall Street analysts have taken a more cautious tone on stocks. Goldman Sachs lowered its year-end price target for the S&P 500 to 4,300 from 4,700 in a new note. The lowered target reflects “higher interest rates and slower economic growth than we previously thought,” according to David Kostin, chief US equity strategist at Goldman Sachs. And in a recession scenario, Kostin added, the S&P 500 would likely drop even further to 3,600.

Other strategists also underscored the plethora of current risks for equities and warned against delving too deeply into one-day rallies.

“We think the tipping point is really an open question at this point. We’re probably between what we’d call two re-ratings: The first re-rating is the Federal Reserve-induced re-rating,” US Bank Asset Management chief investment officer Eric Freedman told Yahoo Finance Live. “If the Fed says it will hike rates, every other asset class must fall in price and yield rise. So we’re really in the thick of it. There could be a tipping point there, depending on what the Fed decides to do on communications.”

“But the next re-rating – again the risk of potentially further downside – is when we see higher commodity costs as well as higher borrowing costs structurally seep into the real economy and stay there for some time,” he added. “So think we’re in a severely oversold state… but we’d still be a bit cautious right now if we think there’s more potential downside ahead.”

4:04pm ET: Stocks end mixed as tech stocks come under renewed pressure: Nasdaq falls 1.2%, Dow holds on to narrow gains

Here were the key moves in the markets as of 4:04pm ET:

  • S&P 500 (^GSPC): -15.87 (-0.39%) to 4,008.02

  • dow (^ DJI): +26.76 (+0.08%) to 32,223.42

  • Nasdaq (^IXIC): -142.21 (-1.20%) to 11,662.79

  • raw (CL=F): +$3.53 (+3.19%) to $114.02 a barrel

  • Gold (GC=F): +$16.70 (+0.92%) to $1,824.90 per ounce

  • 10-year government bonds (^TNX): -5.8 bps gives 2.8770%

10:10 am ET: Empire Manufacturing Index unexpectedly releases second negative reading in three months

A closely watched New York state business activity index slipped into negative territory in May, another sign of slowing activity in key parts of the US economy.

The Empire State Manufacturing Survey’s headline index of general business conditions fell 36 points to -11.6 in May, according to a new report Monday. According to Bloomberg data, consensus economists had expected a reading of 15.0.

The decline coincided with declines in both orders and shipments, both of which reversed following growth in April. Businesses’ assessments of current conditions also deteriorated, with 32% of respondents reporting that conditions had deteriorated over the past month, while 20% said conditions had improved.

9:34 am ET: Stocks open lower

Here were the key moves in the markets as of 9:32am ET:

  • S&P 500 (^GSPC): -14.32 (-0.36%) to 4,009.57

  • dow (^ DJI): -57.11 (-0.18%) to 32,139.55

  • Nasdaq (^IXIC): -81.09 (-0.69%) to 11,723.92

  • raw (CL=F): Unchanged at 110.49

  • Gold (GC=F): -$4.20 (-0.23%) to $1,804.00 per ounce

  • 10-year government bonds (^TNX): -2.2 bps gives 2.9130%

Monday 7:45 am ET Stock futures continue their decline

Here’s where the markets traded ahead of Monday morning’s opening bell:

  • S&P 500 Futures (ES=F): -9.75 points (-0.24%) to 4,010.00

  • Dow futures (YM=F): -26 points (-0.08%) to 32,094.00

  • Nasdaq futures (NQ=F): -42.50 points (-0.34%) to 12,340.25

  • raw (CL=F): -$1.07 (-0.97%) to $109.42 a barrel

  • Gold (GC=F): -$5.10 (-0.28%) to $1,803.10 per ounce

  • 10-year government bonds (^TNX): -1.4 basis points for a return of 2.919%

NEW YORK, NEW YORK - MAY 12: Traders work on the floor of the New York Stock Exchange (NYSE) on May 12, 2022 in New York City.  The Dow Jones Industrial Average fell during morning trade as investors remain concerned about inflation and other global issues.  (Photo by Spencer Platt/Getty Images)

NEW YORK, NEW YORK – MAY 12: Traders work on the floor of the New York Stock Exchange (NYSE) on May 12, 2022 in New York City. The Dow Jones Industrial Average fell during morning trade as investors remain concerned about inflation and other global issues. (Photo by Spencer Platt/Getty Images)

Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter.

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