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The S&P 500 and NASDAQ Composite pulled back from record highs Monday, with tech shares struggling and investors looking ahead to key inflation data due out this week.
The Dow Jones Industrial index tumbled 240.59 points Monday to finish at 44,401.93.
The much-broader index dipped 37.42 points to 6,052.85
The NASDAQ Composite fell 123.08 points to 19,736.69
Nvidia shares dropped about 2.6% on the heels of a Chinese regulator announcing that it’s investigating the artificial intelligence chip darling for potentially violating the country’s antimonopoly law. The stock has been a bellwether for the artificial intelligence trade, up more than 180% in 2024.
Advanced Micro Devices, another chipmaker, closed 5.6% lower after Bank of America downgraded the stock to neutral from buy, with the bank citing its limited market share gain potential as a result of “higher competitive risks in AI against best-of-breed NVDA’s dominance.”
Tech giants Meta Platforms and Netflix also struggled.
The price of bitcoin retreated as well, a sign that investors are moving away from risk-taking. The cryptocurrency topped $100,000 for the first time ever on Wednesday evening last week.
Prices for the 10-year Treasury lagged, raising yields to 4.20% from Friday’s 4.15%. Treasury prices and yields move in opposite directions.
Oil prices hiked 91 cents to $68.11 U.S. a barrel.
Prices for gold jumped $22.10 an ounce to $2,681.70 U.S.
