Stock market today: US stocks trade mixed as investors gear up for more inflation data this week

A trader works on the floor of the New York Stock Exchange (NYSE) during morning trading on March 4, 2024 in New York City.
ANGELA WEISS/Getty
  • Stocks were mixed on Monday. Nvidia stock continued to move lower following a big rally last week.

  • With earnings season over, it's a quiet week on the macro front for investors.

  • The biggest data release this week is Fed's preferred PCE inflation gauge on Friday.

US stocks traded mixed on Monday as investors gear up for a new set of inflation data later in the week.

The Dow Jones Industrial Average traded higher, while the S&P 500 and Nasdaq 100 were slightly lower, led by a continued pause in the AI trade with Nvidia shares down about 2% to $123.88.

"Some profit-taking seems entirely reasonable given NVIDIA's meteoric rise. The stock was up over 180% this year alone. But if it continues to lose ground, then there's a danger of contagion, with selling spreading to other big tech names. If that were the case, then the market could be in for a deeper and more protracted pull-back," Trade Nation senior market analyst David Morrison said.

With earnings season over, investors will turn their attention to the PCE inflation data set to be released on Friday, which happens to be the Federal Reserve's preferred inflation gauge.

Economists expect year-over-year Core PCE to be 2.6% in May, compared to April's reading of 2.7%.

Investors will also keep an eye on initial jobless claims data, pending home sales, and a second revision to first-quarter GDP, all of which should help determine just how strong the US economy really is.

All of this data will help inform investors as to when the Fed might launch its first interest rate cut of the cycle, with markets expecting the first rate cut to occur in September.

Here's where US indexes stood shortly after the 9:30 a.m. opening bell on Monday:

Here's what else is going on today:

In commodities, bonds, and crypto:

  • West Texas Intermediate crude oil dropped 0.46% to $80.36 a barrel. Brent crude, the international benchmark, was declined by 0.45% to $84.86 a barrel.

  • Gold edged higher by 0.36% to $2,339.60 per ounce.

  • The 10-year Treasury yield was flat at 4.25%.

  • Bitcoin dropped 3.10% to $61,220.

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