Wall Street
kets closed higher overnight.
Technology and communication stocks were among the biggest drag on the market. Microsoft fell 1%, while Electronic Arts slid 3.5%.
Several big retailers and travel-related companies also fell. Amazon and Carnival each fell 2.085%.
Those losses checked gains elsewhere in the market, including energy stocks, which rose as the price of U.S. crude oil climbed 1.8%. Exxon Mobil rose 2.5%.
Robinhood Markets jumped 14% following a published report suggesting that cryptocurrency exchange FTX is considering buying the popular trading app company. In May, FTX CEO Samuel BankmanFried bought a 7.6% stake in Robinhood, according to a filing with U.S. regulators.
Robinhood shot to fame for its easy-to-use trading app, which brought a new generation of investors to the stock market, perhaps most famously with the meme-stock frenzy that sent GameStop soaring early last year. Crypto has become a major part of its business.
Treasury yields rose. The yield on the 10-year
Treasury note, which helps set mortgage rates, rose to 3.20% from 3.12% late Friday.
The market rally last week was welcome relief in the midst of a deep slump for Wall Street as investors worry about the path of inflation and whether rising interest rates will temper the impact to businesses and consumers or push the economy into a recession.
The Federal Reserve and other central banks have been aggressively raising interest rates in a sharp turnaround from maintaining ultra-low rates during the virus pandemic that helped support the economy. It's a delicate balance
for the Fed, which hopes to cool off the economy, but not so much that it actually contracts. Higher interest rates, though, also hurt prices for investors and have prompted much of the year's sell-off.
Investors have favorably viewed recent reports showing weak consumer sentiment and economic growth because that raises the possibility that the Fed will ease off its plan for aggressive rate hikes as economic growth slows.
Wall Street will have a few more reports this week that could provide more insight into inflation, economic growth and the Fed's path ahead.
On Tuesday, business group The Conference Board will release its consumer confidence report for June. Spending and confidence held up well through most of the post-pandemic recovery, even as inflation rose. But record high gas prices and an overall tighter squeeze from inflation have been eating away at wallets and prompting many to shift or cut back spending.
Part of push behind inflation's tighter squeeze was Russia's invasion of Ukraine in February. That sent energy prices soaring. U.S. crude oil prices are up more than 40% for the year. Prices for wheat and corn have also surged.