US Biz
NEW YORK, June 26 (Xinhua) -- U.S. stocks ended lower on Monday as investors weighed the situation in Russia and jitters around the global economy.
The Dow Jones Industrial Average fell 12.72 points, or 0.04 percent, to 33,714.71. The S&P 500 lost 19.51 points, or 0.45 percent, to 4,328.82. The Nasdaq Composite Index shed 156.74 points, or 1.16 percent, to 13,335.78.
Six of the 11 primary S&P 500 sectors ended in green, with real estate and energy leading the gainers by rising 2.21 percent and 1.71 percent, respectively. Meanwhile, communication services and consumer discretionary led the laggards by losing 1.88 percent and 1.25 percent, respectively.
U.S. stocks fell Monday as investors monitored the situation in Russia following a brief rebellion by a mercenary group over the weekend. Uncertainty about the situation there could keep the markets on edge and fuel investors' wait-and-see mood.
Meanwhile, worries about the global economic outlook continued after a sharp decline in the German Ifo Business Climate Index. The closely watched gauge dropped to 88.5 in June from a downward revision of 91.5 in May, pointing to a longer recession, according to data issued by the Ifo Institute on Monday.
"Germany once prided itself as being the locomotive of the eurozone, which blazed the way with a strong economy. The country is still by far the largest economy in the bloc, but hard times in the global economy haven't spared Germany," said Kenny Fisher, senior market analyst at OANDA, a supplier of online multi-asset trading services.
Some analysts believe that excessive tightening will bring on sharp economic downturns globally, following a flurry of rate hikes by European central banks last week. Meanwhile, Federal Reserve Chairman Jerome Powell reiterated that many Fed officials were in favor of two more quarter-point rate hikes, with their hawkish stances continuing to weigh on market sentiment since last week.
"We think the U.S. dollar is going to keep rallying, rising about 5 percent or so by the end of the year. Central bankers are likely to keep their feet on the brakes in order to tackle inflation. And in doing so, growth is likely to remain anemic, with risks skewed to the downside," said Dave Adams, head of G10 foreign exchange strategy with Morgan Stanley.
Investors are also keeping a close eye on technology stocks. A pullback in tech giants contributed heavily to the Nasdaq Composite Index's sharp decline on Monday. Meta Platforms, Nvidia and Alphabet fell more than 3 percent each. Tesla sank more than 6 percent after receiving another downgrade from Goldman Sachs.
The final trading week of June is relatively light for economic data, highlighted by Friday's personal consumption expenditures index for May, the Fed's preferred inflation measure.