The major US indices cut losses and finished mixed on Monday. The Dow Jones Industrial Average was down 0.45%, the S&P 500 slid 0.14%, and Nasdaq rose 0.05%.
Goldman Sachs said on Sunday that the Fed was to increase the interest rate four times in 2022 to combat inflation. The 10-year US treasury yields spiked to above 1.8% at one point on Monday. And the big tech stocks initially fell but bounced off session lows as investors start buying into these discounted growth stocks. Apple and Microsoft were up 0.03% and 0.08% respectively. Amazon was down 0.66%. The Facebook parent- Meta closed down by 1.09% after it fell 2.8% at a session low.
3 out of 11 sectors closed higher in the S&P 500. The healthcare stocks outperformed the broad markets as both Pfizer and Novavax's CEO gave positive words towards their vaccine's rollout. Pfizer says the vaccine that targets omicron will be ready in March, while Novavax's CEO indicates its vaccine to be expected to get approved by 10 regulators in multiple countries. Pfizer's share price rose 0.93%, while Novavax jumped 6.37%.
Investors are awaiting a few big economic data to be released later this week. The Fed chairman Powell's confirmation hearing in the Senate Banking Committee falls on Wednesday. The US December CPI will be reported on the same day. A few big banks including JP Morgan Chase, Citi group, and Wells fargo are to report the Q4 earnings on Friday.