The S&P 500 Index ($SPX) (SPY) on Monday closed down by -0.35%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down by -0.45%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down by -0.25%. December E-mini S&P futures (ESZ25) fell -0.35%, and December E-mini Nasdaq futures (NQZ25) fell -0.27%.
Stock indexes settled lower on Monday, pressured by higher bond yields. The 10-year T-note yield climbed to a 2.25-month high on Monday at 4.19% and finished up +4 bp at 4.17%. However, stocks have support on expectations that the Fed will cut interest rates following the 2-day FOMC meeting that ends on Wednesday. Market seasonals are also supportive of stocks, as December is typically a bullish month. Strength in chip stocks on Monday limited losses in the Nasdaq 100.
