Decline in U.S. Stock Indices
The U.S. stock market opened this week’s trading session with a noticeable decline across all major indices.
Topic
Indices:
The S&P 500 Index decreased by 0.21% to 5,335.69 points.
The Nasdaq Composite Index fell by approximately 0.20%, settling near 17,099.52 points.
The Dow Jones Industrial Average dropped by about 80.26 points at the market open, reaching a level of 38,718.73 points.
It is noteworthy that the U.S. stock indices generally declined at the end of the previous week’s trading session. The Dow Jones Industrial Average finished down by 0.05%, closing at 38,780.75 points. Similarly, the S&P 500 Index fell by 0.11% in the previous session, reaching 5,346.99 points, and the Nasdaq Composite Index saw a marginal decline of 0.29%, recording 17,083.36 points.
Gold:
- Gold Price Decline: Gold prices fell during Tuesday’s trading session despite a drop in the value of the U.S. dollar. Investors were awaiting a key inflation reading in the United States and the Federal Reserve’s decision on interest rates to gain insights into the timing of the central bank’s potential rate cuts. Following a robust jobs report, it appears that the Federal Reserve’s hands are tied, and they are unlikely to signal a rate cut in September, a move eagerly anticipated by traders. Gold is likely to see further declines amid rising bond yields and the strengthening U.S. dollar. The Consumer Price Index (CPI) inflation report for May, scheduled for release on Wednesday, along with the two-day Federal Reserve meeting starting on the same day, will be the next major events to watch.
Oil:
- Ongoing Oil Price Decline: Oil prices continued to fall on Tuesday as investors awaited key U.S. inflation data and the Federal Reserve’s policy meeting results for more clarity on inflation trends and their impact on fuel demand. During Tuesday’s Asian session, crude oil futures saw a decline. According to the New York Mercantile Exchange, the price of crude oil contracts for July delivery was $77.58 per barrel at the time of reporting, marking a decrease of 0.21%. The crude oil contracts had previously traded as low as $77.55 per barrel. Crude oil may find support at $74.06 and resistance at $78.29 per barrel.
Decline in U.S. Stock Indices