US stocks finish lower as Fed hike expectations rise
US indices closed mostly lower Monday; the S&P 500 fell 0.3% and the Dow shed 374 points. Higher oil prices weighed via inflation risk as Treasury yields rose. Hyperscalers fell; Nvidia rose 1.4%.
US stock indices closed mostly lower on Monday as higher oil prices added to inflation risks and reinforced expectations of a Federal Reserve rate hike.
The S&P 500 fell 0.3%, the Nasdaq closed near flat and the Dow shed 374 points.
Oil prices gained traction after the US and Iran exchanged fresh strikes, following signals from both sides of blockades targeting tankers and vessels in the Persian Gulf that have prolonged the suspension of regional exports.
Treasury yields rose across the curve, weighing on credit-sensitive stocks.
Hyperscalers tumbled, with Alphabet down 2.1%, Microsoft losing 1.2% and Amazon shedding 2.5%.
Financials also closed mostly lower, with Mastercard losing 1% and Goldman Sachs down 0.8%.
In contrast, Nvidia gained 1.4% after announcing a $3.5 billion stake in MediaTek, expanding its exposure to global chip production and AI infrastructure.
The S&P 500 rose 2.6% on August, while the Nasdaq 100 jumped 4.2% and the Dow gained 701 points.