Bonds & Stocks
A selloff in the stock market’s most-influential group added to Wall Street’s jitters, with traders awaiting key inflation data after a massive recalibration of Federal Reserve rate-cut wagers. The S&P 500 fell 0.7%. The Nasdaq 100 dropped 1.3%. The Dow Jones Industrial Average added 0.3%. A Bloomberg gauge of the “Magnificent Seven” megacaps slid 1.9%. The Russell 2000 index of smaller firms retreated 1%. The yield on 10-year Treasuries advanced two basis points to 4.78%.
Economy
Treasuries extended their drop after Friday’s blowout employment report strengthened speculation that the Federal Reserve is poised to pause its interest-rate cuts for virtually all of this year.
World
Oil rallied to the highest level in five months as a fresh wave of US sanctions against Russia’s energy industry threatened to crimp supplies from one of the world’s top producers.
West Texas Intermediate advanced near $78 a barrel, after surging almost 4% on Friday.