Stock market today: Stocks edge lower on Wall Street, erasing gains for the S&P 500
- Stocks drifted lower on Wall Street, with the S&P 500 erasing gains from the past three weeks.
- Despite slipping 0.4% on Friday, the S&P 500 remains near its record high set the previous week.
- Investors witnessed a subdued trading day as Wall Street edged down, putting an end to the winning streak for the S&P 500.
In a volatile day of trading on Wall Street, stocks ultimately closed lower on Friday, marking the end of a three-week winning streak for the S&P 500. The market was weighed down by a pullback in big technology stocks, with Apple, Microsoft, and Meta Platforms all posting losses. Investors are closely watching inflation data, hoping for rate cuts from the Federal Reserve to ease market pressure. Consumer prices rose 2.6% in May, prompting speculation about potential interest rate adjustments. The yield on the 10-year Treasury rose following the latest inflation data release, as the Fed aims to bring inflation back to its 2% target. Despite some easing in inflation pressure, consumers are still feeling the impact, leading to weakened spending and economic growth concerns. Nike experienced a significant decline after missing revenue targets, contributing to the S&P 500's overall drop. The index closed the month with a 3.5% gain, while the Nasdaq saw a 6% increase for the month and an 18.1% rise for the year. The central bank's decision on interest rates, influenced by inflation updates, is closely watched by global markets. In Asian trading, market sentiment remained subdued despite efforts to boost the Chinese property market. Various indices in Asia experienced mixed results, with some markets falling while others rose. On Wall Street, the S&P 500 index fluctuated throughout the day, with notable performances from individual stocks like Chipotle and Rivian. Investors are anticipating a potential rate cut at the Fed's September meeting amid concerns about economic growth and consumer stress. Overall, the market's reaction to inflation data and expectations of future rate cuts are driving investor sentiment. With ongoing economic challenges and shifting consumer behavior, the focus remains on central bank policies and their impact on global markets. The intricate balance between inflation management, interest rates, and market stability continues to shape investment decisions and market movements.