- US stocks were lower on Monday after a slowdown in manufacturing sparked fresh growth concerns.
- The ISM Manufacturing Index fell to 59.5 in July, falling short of economist estimates of 61.
- Interest rates fell following the data release, with the US 10-Year Treasury yield hitting 1.17%.
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US stocks were lower on Monday after a slowdown in manufacturing sparked fresh growth concerns amid the ongoing economic recovery from COVID-19.
The ISM Manufacturing Index fell to 59.5 in July, falling short of economist expectations for a rise to 61, according to Bloomberg. July’s ISM Manufacturing reading represented the lowest since January. It stood at 60.6 in June.
A reading above 50 for the ISM Manufacturing Index signals expansion in manufacturing, which represents about 12% of the US economy. The fresh growth scare led to a decline in interest rates, with the 10-Year US Treasury yield falling to 1.17%.
Here’s where US indexes stood at the 4:00 p.m. ET close on Monday:
- S&P 500: 4,387.13, down 0.18%
- Dow Jones industrial average: 34,836.65, down 0.28% (98.82 points)
- Nasdaq composite: 14,681.07, up 0.06%
Square jumped as much as 12% on Monday after the fintech platform agreed to acquire “buy now, pay later” firm Afterpay for $US29 ($AU39) billion in an all-stock deal.
HSBC released earnings results that surpassed profit estimates. The bank lowered its loan loss provisions as the economy continues to stage its recovery from COVID-19.
Robinhood said just 301,573 of its users, or 1.3%, directly participated in its IPO last week, purchasing shares of the online trading app at $US38 ($AU52) per share.
Tesla jumped 5% on Monday, extending a 4-day win streak to as much as 13% amid strong July delivery numbers from its Chinese competitors.
Gold fell 0.36%, to $US1,810.70 ($AU2,460) per ounce.