U.S. stocks moved lower as Wall Street opened on a negative footing following last week’s bounce to record highs, with the focus shifting from the Federal Reserve’s Jackson Hole symposium to Nvidia’s earnings coming up this week.
- Dow opened 90 points down as Wall Street began the week on a negative footing.
- Bitcoin mirrored stocks’ action and dropped to near $111k.
- Corporate earnings are in focus, including Nvidia.
The Dow Jones Industrial Average opened 90 points lower, and the S&P 500 shed 0.2%, as the blue-chip and benchmark indexes retreated from highs seen at the close on Aug. 22. The Nasdaq Composite also dropped and was down 0.3% as bullish investor sentiment around interest rate cuts dissipated to one of caution.
The downbeat start to the week comes after a week in which Wall Street posted a strong bounce on the back of some unimpressive showings. In particular, stocks posted a robust uptick on Friday as Fed chair Jerome Powell hinted at the potential for the central bank to cut its benchmark rate in September.
As the Dow Jones Industrial Average rallied more than 800 points to close at a record 45,631, the S&P 500 inched close to its all-time high. The Nasdaq Composite also jumped, while across risk assets, cryptocurrencies mirrored Wall Street’s gains.
Bitcoin (BTC), which peaked above $124k this month, recovered some of the losses as it jumped to highs of $117k.
However, with equities in downturn, sell-off pressure has pushed the benchmark digital asset back to lows of $111k.
Wall Street focus shifts to Nvidia
The corporate market helped buoy stocks in the second quarter as tariffs impacted investor confidence in April and early May. But with traders growing more bullish amid trade deals, a wave of earnings beat provided a perfect bounce platform.
Nvidia, the chipmaker that often drives sentiment across tech stocks, is reporting this week.
The company reports on Wednesday after the bell and optimism is high amid expectations of an AI driven uptick.
As well as Nvidia, other stocks in the earnings spotlight this week are Dell and Marvell Technology, both of which report on Thursday