Stocks slipped following the latest evidence that the economy remains strong, which could delay the cuts to interest rates that Wall Street wants.
The S&P 500 fell 0.3% from its all-time high Monday. The Dow Jones Industrial Average lost 0.7%, and the Nasdaq $NDAQ composite slipped 0.2%. McDonald’s was a heavy weight after it reported weaker revenue than expected.
Some of the sharpest action was in the bond market, where yields climbed after the chair of the Federal Reserve said again that cuts to interest rates are unlikely to begin in March. A strong report on U.S. services businesses also pushed yields higher.
On Monday:
The S&P 500 fell 15.80 points, or 0.3%, to 4,942.81.
The Dow Jones Industrial Average fell 274.30 points, or 0.7%, to 38,380.12.
The Nasdaq composite fell 31.28 points, or 0.2%, to 15,597.68.
The Russell 2000 index of smaller companies fell 25.49 points, or 1.3%, to 1,937.24.
For the year:
The S&P 500 is up 172.98 points, or 3.6%.
The Dow is up 690.58 points, or 1.8%.
The Nasdaq is up 586.33 points, or 3.9%.
The Russell 2000 is down 89.83 points, or 4.4%.