The Dow Jones industrial index and the expanded S&P 500 indicator fell 0.7% while the technology Nasdaq fell 0.6%, according to data provided by the NYSE.
Oil rose 1.4%, adding further concerns to the Federal Reserve’s policy in the face of inflation.
For analysts, the rapid rise in energy costs that has triggered recessions in the past, may increase the likelihood that history will repeat itself if energy prices continue to rise.
The strength of the dollar makes energy prices more expensive for net importers of crude.
The Negative market climate started early when investors received the Goldman Sachs report which cut its economic growth forecast for 2022 to 4% from 4.4% and for 2021 to 5.6% from 5.7%.
Investors are motivated and awaiting corporate balance sheets for the third quarter and JPMorgan’s financial statements will be released this week on Wednesday, followed by Goldman Sachs, Bank of America, Morgan Stanley, Wells Fargo and Citigroup later this week together. with reports from Delta Airlines and Walgreens Boots Alliance.
Investors will seek information on the problems they face with the supply chain, particularly in the holiday shopping season.
Analysts estimate an earnings growth rate of 27.6% for the S&P 500 in the third quarter, which would be the third-highest growth rate since 2010.
Investors will also be looking at the economic data released this week. The Labor Department will release its Consumer Price Index on Wednesday and its Wholesale Price Index on Thursday. The reports detail the pressure of inflation on consumers and businesses.
In the Dow Jones, Home Depot + 0.8%, Salesforce + 0.5% and Procter & Gamble + 0.4% stood out; In the S&P 500, the best was for Enphase Energy + 4.5%, Mosaic + 3.8%, and Wynn Resorts + 3.4%.
On the Nasdaq, the most important was Check Point Software + 1.8%, Applied Materials + 1% and Tesla + 0.8%.
In Europe, mining and energy stocks helped keep some stocks in positive territory.
In the Euro Stoxx 50 index, which closed balanced like the DAX 40 in Frankfurt, the German automakers Daimler + 2.8% and BMW + 2.6% and the French oil company Total + 2% stood out.
In London, the FTSE gained 0.7% and the CAC 40 in Paris rose 0.2%, while in the Mediterranean, the IBEX 35 contracted 0.6% and the Milan MIB fell 0.5%.
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