Stocks Struggle as Traders Keep Eye on Europe and Await Key Economic Data
On Monday, stocks were mostly lower as traders kept an eye on developments in Europe following a brief rebellion by mercenary troops in Russia and awaited key economic data later in the week. The Dow Jones Industrial Average fell 208.98 points, or 0.6%, to 33,823.45, while the S&P 500 lost 8.8 points, or 0.2%, to 4,221.86, and the Nasdaq Composite gained 24.32 points, or 0.2%, to 14,161.35.
Among individual stocks, Carnival Corp. (CCL) shares fell 5.8% after the company said it has extended its pause in operations in Australia through September. Meanwhile, Lucid Group Inc. (LCID) shares surged 8.7% after the company announced that it has secured a $2.5 billion private-investment-in-public-equity (PIPE) deal. PacWest Bancorp (PACW) shares gained 7.8% after the company announced that it has agreed to be acquired by First Foundation Inc. (FFWM) in a deal valued at $2.4 billion.
Tesla Inc. (TSLA) shares fell 1.9% after the company announced that it is recalling almost all of the cars it has sold in China over problems with the vehicles’ assisted-driving software. Pfizer Inc. (PFE) shares fell 0.8% after the company announced that it is recalling all of the lots of its Chantix smoking-cessation medication due to the presence of a cancer-causing substance.
Traders are also awaiting key economic data later in the week, including the release of the latest U.S. gross domestic product figures on Thursday and the latest jobs report on Friday. Analysts expect that the GDP figures will show that the U.S. economy grew at an annualized rate of 8.4% in the second quarter, while the jobs report is expected to show that the U.S. added 675,000 jobs in June.
Overall, market volatility is expected to persist amid concerns about inflation and the potential for tighter monetary policy from the Federal Reserve. Investors will be closely watching for any signals from the Fed about its plans for interest rates and its bond-buying program.
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Original Story at www.barrons.com – 2023-06-26 17:47:00
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