Rally Pauses, Shares Go Sideways
December 03,2024 12:24 pm EST
Stocks slipped Tuesday, taking a breather following a major rally that has taken U.S. benchmarks to record levels.
The Dow Jones Industrial index declined 135.58 points to 44,646.42
The S&P 500 dipped 9.95 points to 6,037.20.
The NASDAQ Composite faded 1.08 points to 19,402.87.
Both the S&P 500 and NASDAQ hit new record highs on Monday, adding to their strong post-election gains.
Shares of artificial intelligence server maker Super Micro Computer jumped 4%, continuing its upwards tear. The stock added 29% on Monday after a special committee said it found “no evidence of misconduct” within the company. Nike fell 1% and Honeywell, off 2%, dragged the Dow lower.
On the earnings front, investors will follow releases from Salesforce and Okta due after the bell.
Experts caution this doesn't mean that stocks will soar in December, since November was the best month of the year for the market. During the last trading day of November, the Dow and the S&P reached new intraday and closing highs, leading both indexes to post their best months of 2024. The Dow added 7.5%, while the S&P 500 gained 5.7% last month.
Economic data released on Tuesday morning showed that job openings were higher in October compared to September. 7.74 million job openings were posted last month, beating the Dow Jones estimate of 7.5 million.
This was the first in a salvo of data releases expected this week that can provide insight into the strength of the labor market. The main event will be Friday's November payrolls report.
Prices for the 10-year Treasury were lower, raising yields to 4.22% at Monday's 4.19%. Treasury prices and yields move in opposite directions.
Oil prices increased $1.97 to $70.07 U.S. a barrel.
Prices for gold forged ahead $12.90 an ounce to $2,671.40 U.S.
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