Stocks Close Mixed Following Lackluster Trading Session - U.S. Commentary

(RTTNews) - Stocks turned in a mixed performance during trading on Monday following the strength seen in the previous week. While the Dow and the S&P 500 slid into negative territory, the tech-heavy Nasdaq posted a modest gain.

The Nasdaq edged up 10.76 points or 0.2 percent to 5,531.82, while the Dow dropped by 76.42 points or 0.4 percent to 19,887.38 and the S&P 500 fell by 8.08 points or 0.4 percent to 2,268.90.

The mixed performance on Wall Street came after last week's gains lifted the Nasdaq and the S&P 500 to new record highs.

The Dow also flirted with the 20,000 level last Friday but was unable to break through the key psychological level.

A lack of major U.S. economic data kept some traders on the sidelines, although reports on producer prices and retail sales are scheduled to be released on Friday.

Additionally, financial giants Bank of America (BAC), JPMorgan Chase (JPM), and Wells Fargo (WFC) are due to report their quarterly results this week.

Sector News

Energy stocks showed a notable move to the downside on the day amid a sharp drop in the price of crude oil. Crude for February delivery plunged $2.12 to $51.87 a barrel amid concerns increased U.S. production will offset an OPEC output reduction.

Reflecting the weakness in the energy sector, the NYSE Arca Natural gas Index tumbled by 2.4 percent, while the Philadelphia Oil Service Index slumped by 1.7 percent and the NYSE Arca Oil & Gas Index slide by 1.4percent.

Railroad and utilities stocks also saw considerable weakness, with the Dow Jones Railroads Index and the Dow Jones Utilities Average both falling by 1.3.

On the other hand, semiconductor stocks saw significant strength on the day, resulting in a 1.1 advance by the Philadelphia Semiconductor Index. Graphics chip maker Nvidia (NVDA) posted a standout gain.

Other Markets

In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance on Monday, with the Japanese markets closed on the day. China's Shanghai Composite Index climbed by 0.5 percent, while India's BSE Sensex edged down by 0.1 percent.

The major European markets also ended the day mixed. While the U.K.'s FTSE 100 Index rose by 0.4 percent, the German DAX Index dipped by 0.3 percent and the French CAC 40 Index fell by 0.5 percent.

In the bond market, treasuries moved back to the upside following the pullback seen last Friday. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, dropped by 4.2 basis points to 2.376 percent.

Looking Ahead

The U.S. economic calendar remains relatively light on Tuesday, although the Commerce Department is due to release its report on wholesale inventories in the month of November.