Stocks finish lower as attention shifts to earnings, data.
U.S. stocks drifted lower on Monday, as investors awaited fresh trading catalysts in the form of economic data and corporate earnings news.
All of Wall Street’s major benchmarks finished in negative territory. The Dow Jones Industrial Average (NYSEARCA:DIA) fell 28.14 points, or 0.1%, to 26,384.16.
The large-cap S&P 500 Index (NYSEARCA:SPY) declined 0.1% to close at 2,905.56. Losses were primarily concentrated in real estate, industrials and financials stocks. On the opposite side of the ledger, consumer staples and health care finished higher.
Meanwhile, the technology-focused Nasdaq Composite Index (NYSEARCA:QQQ) closed down 0.1% at 7,976.01.
A measure of implied volatility known as the CBOE VIX (NYSEARCA:VXX) rose on Monday, as investors shifted their focus to corporate earnings. VIX, commonly known as the “fear index,” climbed 2.9% to 12.36 on a scale of 1-100 where 20-25 represents the historic average.
In economic data, the New York Empire State Manufacturing Index rose sharply this month, possibly signaling a sharp upturn in regional factory output at the start of the second quarter. The index improved to 10.1 in April from 3.7 the month before. Analysts had called for a reading of 6.0.
The economic calendar heats up later this week with reports on industrial production, trade, retail sales and housing starts.
The Final Word: Corporate earnings are also on the docket this week, with several Dow blue chips scheduled to report. The reporting season could determine whether stock prices return to record highs this month or correct lower following a solid first quarter.