The S&P 500 inched lower Monday as investors await the Federal Reserve’s highly anticipated policy meeting, during which central bankers are expected to cut rates for the first time since 2020. Meanwhile, the Dow Jones Industrial Average rose to a new all-time high.
The 30-stock index jumped 94.19 points to a new high of 41,487.97
The much broader index lopped off 4.73 points to 5,611.29
The NASDAQ stumbled 175.87 points, or 1%, to 17,508.11.
The S&P 500 is less than 1% away from its July record and could notch a new all-time high this week. After a rough start to a historically weak September, the three major U.S. indexes ended last week’s trading session in the green, with the S&P 500 and NASDAQ just closing their best week of 2024.
Apple shares declined more than 2% after analysts at firms, including Bank of America and JPMorgan, noted that shipping times could point to lighter demand for iPhone 16 Pro models than the prior year.
Chip stocks like Nvidia, which led the market comeback last week, were lower as investors took off some of their bets. The AI giant lost 2% Monday. Broadcom fell nearly 4%, while KLA and Marvell Technology dropped 1.8%.
The Fed is set to meet on Tuesday and Wednesday and are widely anticipated to make its first interest rate cut since it began hiking rates in March 2022. A cut this week would be a pivotal move, as many investors hope the decision could lower borrowing costs for companies and improve overall earnings growth — boosting economic growth.
Prices for the 10-year Treasury regained strength, lowering yields to 3.63% from Friday’s 3.64%. Treasury prices and yields move in opposite directions.
Oil prices gained $1.07 to $69.72 U.S. a barrel.
Gold prices lost $2.90 to $2,607.80.
