Advertisment
Stocks rose on Monday, as traders tried to move past Moody’s Investors Service lowering its U.S. credit rating outlook to negative from stable.
The Dow Jones Industrials regained 93.85 points to 34,376.95.
The S&P 50 index fell 0.12 points to 4,415.12.
The NASDAQ slid 27.15 points to 13,770.95.
Leading the S&P 500 gains were DaVita, up 8%, Insulet, better 7% and Henry Schein, ahead 6%. Shares of Boeing added more than 4% after Emirates announced a $52-billion order for 95 aircraft, giving the Dow a lift.
Moody’s on Friday underscored the U.S.’ “very large” fiscal deficits and partisan gridlock in Washington as contributing factors for the cut.
The ratings agency reaffirmed America’s credit rating at AAA, the highest level. This comes three months after Fitch lowered the U.S. long-term foreign currency issuer default rating to AA+ from AAA, also citing expected fiscal deterioration, an increasing debt burden and political standoffs on fiscal and debt issues.
Investors are awaiting the release of fresh U.S. inflation data this week, with the latest reading on the consumer price index slated for release Tuesday.
Prices for the 10-year Treasury were negative, raising yields to 4.64% from Friday’s 4.62%. Treasury prices and yields move in opposite directions.
Oil prices perked $1.21 to $78.38 U.S. a barrel.
Gold prices brightened $12.40 to $1,950.10.
