Stocks finished lower Monday as investors braced for a potentially busy week of geopolitical updates and potential market catalysts. U.S.-China trade developments remain in focus ahead of the December 15th tariff deadline, in which Washington is scheduled to implement duties on $156 billion of Chinese consumer products. The Dow slipped 105 points, breaking a three day winning streak. The S&P 500 declined 0.3%, while the Nasdaq Composite dropped 0.4%. Today’s losses follows Friday’s session in which stocks rebounded following a robust November jobs report.
Global economic data was in focus, with a report showing Chinese exports unexpectedly fell 1.1% year-over-year in November. In the U.S. there were no notable economic updates. Treasuries were little changed, with the yield on the 10-year note down one basis points to 1.83%. Later this week, global central banks will grab headlines with both the U.S. Federal Reserve and European Central Bank holding policy meetings.
Eight of 11 S&P 500 sectors declined with Health Care and Utilities shares leading the laggards. In corporate news, Boeing and Apple weighed on the Dow as shares lost 0.8% and 1.4%, respectively. Merck finished slightly higher after announcing the acquisition of cancer drug maker ArQule for roughly $2.7 billion. Texas Capital Bancshares rallied more than 9%, while Independent Bank Group rose nearly 4.0% following an all-stock merger of equals valued at $5.5 billion.
Over in Europe, Thursday’s general election in Britain will garner attention, as the vote will decide the future of Brexit. In commodities, WTI crude lost 0.4% to $58.97/barrel after advancing roughly 7% last week.