Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

S&P closes nominally lower as investors wait for a catalyst

Stock Markets Jun 07, 2021 08:22PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: The New York Stock Exchange is pictured in the Manhattan borough of New York City, New York, U.S., April 16, 2021. REUTERS/Carlo Allegri/File Photo

By Stephen Culp

NEW YORK (Reuters) - The S&P 500 ended a languid session slightly in the red on Monday, with investors standing by on news of a global minimum corporate tax rate, lingering inflation fears, and a lack of market-moving economic news.

The Dow closed well within negative territory, while the Nasdaq advanced. Still, the S&P and the Dow remained inside one percentage point of their record closing highs.

"Thematically, we're done with earnings, so you have this lull in between earnings when what drives the market is economic data points," said Joseph Sroka, chief investment officer at NovaPoint in Atlanta. "There's not a lot of impetus for investors to take action today."

"There's been this flip-flop between whether inflation will be transitory or persistent, and the next card that gets flipped over for that is the CPI report on Thursday," Sroka added.

Smallcaps outperformed as the ongoing retail frenzy boosted stocks whose recent explosive trading volumes have been attributed to social media buzz.

AMC Entertainment (NYSE:AMC) Holdings jumped 14.8%, extending the previous week's 85% gain.

Other so-called "meme stocks," including GameStop Corp (NYSE:GME) and U.S.-listed shares of Blackberry (TSX:BB) Ltd advanced between 7% and 14%.

"You've seen a decades-long, technology-enabled democratization of the market and there's certainly groups of individual investors that flock to these ideas," Sroka said. "We're seeing speculative trading in an age of multiple outlets and social media amplifies the news."

The Group of Seven (G7) advanced economies agreed on Saturday to back a minimum global corporate tax rate of at least 15%, a move Treasury Secretary Janet Yellen called a "significant, unprecedented commitment" to bring what she called a race to the bottom on global taxation.

Lawmakers in Washington are doubling down on efforts to craft a bipartisan infrastructure spending package, with House Democrats expected to bring a bill to vote as early as Wednesday.

The Dow Jones Industrial Average fell 126.15 points, or 0.36%, to 34,630.24; the S&P 500 lost 3.37 points, or 0.08%, at 4,226.52; and the Nasdaq Composite added 67.23 points, or 0.49%, at 13,881.72.

Of the 11 major sectors in the S&P 500, seven lost ground, with materials suffering the largest percentage drop. Real estate led the gainers.

Shares of Biogen Inc (NASDAQ:BIIB) surged 38.3% following news that the Food and Drug Administration approved its Alzheimer's disease drug aducanumab.

Data center operator QTS Realty (NYSE:QTS) Trust jumped 21.2% on reports of a takeover deal by investment firm Blackstone Group (NYSE:BX) worth $6.7 billion. {nL3N2NP2QW]

Cruise operator Royal Caribbean (NYSE:RCL) announced that six of its ships would begin sailing from Florida and Texas ports in July and August.

Its shares gained 0.4%, while rivals Carnival (NYSE:CUK) and Norwegian Cruise Line (NYSE:NCLH) advanced 1.1% and 3.1%, respectively.

Advancing issues outnumbered decliners on the NYSE by a 1.35-to-1 ratio; on Nasdaq, a 1.82-to-1 ratio favored advancers.

The S&P 500 posted 62 new 52-week highs and one new low; the Nasdaq Composite recorded 168 new highs and 21 new lows.

Volume on U.S. exchanges was 10.52 billion shares, compared with the 10.71 billion average over the last 20 trading days.

S&P closes nominally lower as investors wait for a catalyst
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (5)
Jon Bal
Jon Bal Jun 07, 2021 8:53PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
when liquidity is no longer infinite will be the catalyst
Javier Escamilla
Javier Escamilla Jun 07, 2021 12:48PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Stonks only go up!
Jaycom Osaruyiwmen
Jaycom Osaruyiwmen Jun 07, 2021 12:45PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Thanks Nayar, great reporting.
Luu Hung
Luu Hung Jun 07, 2021 12:28PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
What flat lol
YouTube Account
YouTube Account Jun 07, 2021 10:10AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The inflation has already happened (and is ongoing). The real question in the rate at which prices are rising. Everyone knows prices are rising, but the CPI is cooked up to return as small a number as possible to buy the money printers time to inflate the currency even further. It's all so frothy...
Tiberius Augustus
Tiberius Augustus Jun 07, 2021 10:10AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Like totally dude
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email