Broader market closes mixed with tech stocks leading gains and weakness in software

From Nasdaq: 2024-07-08 19:56:54

Stock indexes closed mixed on Monday, with the S&P 500 and Nasdaq 100 hitting record highs while the Dow Jones Industrials retreated. Tech stocks led gains, but weakness in software stocks and a 3% drop in Nike weighed on the market. French elections and anticipation of Fed Chair Powell’s report influenced market sentiment.

Euro Stoxx 50 rose to a 3-week high after France’s divided elections. US markets are eyeing Powell’s report and the June CPI release. May consumer credit exceeded expectations. The probability of a rate cut in July and September stands at 7% and 73% respectively. Overseas markets were lower, with China, Japan, and European stocks down.

Interest rates saw 10-year T-notes decline ahead of Powell’s testimony and upcoming Treasury auctions. European government bond yields also fell. Eurozone investor confidence dropped, and German exports and imports saw sharp decreases. ECB member Muller signaled a cautious approach to rate cuts. Swaps reflect minimal odds of an ECB rate cut in July.

Stock movers on Monday included Paramount Global, ServiceNow, Nike, and Devon Energy in the red. Brinker International was downgraded. Chip stocks like Intel led gains. Corning surged after strong Q2 sales, R1 RCM rose on acquisition talks, and Morphic Holding spiked on a buyout deal with Eli Lilly. StoneCo, Gilead Sciences, and Domino’s Pizza also saw positive movement.

In the week ahead, earnings reports from Byrna Technologies, Helen of Troy, Kura Sushi USA, and SMART Global Holdings are anticipated. Stay updated with the latest stock market news from Barchart for informed decision-making.



Read more at Nasdaq: Broader Market Settles Higher on Chip Stock Strength