Markets Trading Lower, S&P 500 Drops Amidst Economic Uncertainty

As the market continues to grapple with economic uncertainty, the S&P 500 index has taken a dip, with investors digesting a year-end rally to record levels while awaiting new U.S. inflation data set for release this week. The S&P 500 hovered around the flatline, while the Dow Jones Industrial Average shed 161 points, or almost 0.4%. The Nasdaq Composite gained nearly 0.4%. Oracle shares slumped more than 8% after the database software company posted fiscal second quarter results that missed Wall Street's estimates. The stock has jumped more than 60% this year.



The major averages fell on Monday, with the S&P 500 and the Nasdaq Composite sliding about 0.6%, dropping from recent records as Nvidia shares declined. Those moves knocked stocks off of record levels. "We have heard that the tech trade has been over on and off for five years yet there has not been a better place to be," said Laffer Tengler Investments CEO Nancy Tengler. "Yes, the market is broadening and that is good but without tech, the market and the economy struggle."



Investors are now waiting on the U.S. consumer price index report, which is due Wednesday and could influence how the Federal Reserve proceeds on interest rates at its Dec. 17-18 meeting. Economists polled by Dow Jones forecast that headline inflation rose 0.3% in November and 2.7% over the prior 12 months.