Wall Street reverses lower on profit-taking

Most US stock indexes fell at the start of Monday trading amid profit-taking by investors following last week’s strong gains on Wall Street.

This came after remarks by Federal Reserve Chairman Jerome Powell at the Jackson Hole conference on Friday, where he hinted at an upcoming rate cut, with estimates showing a probability of over 90% for a cut at the September meeting.

Later this week, Nvidia will report earnings after Wednesday’s close, followed by results from Dell and Marvell Technology.

Also due on Friday are US Personal Consumption Expenditures (PCE) data, the Fed’s preferred inflation gauge.

As for trading, the Dow Jones Industrial Average fell by 0.5% (equivalent to 216 points) to 45,420 points as of 17:50 GMT, while the broader S&P 500 declined by 0.1% (equivalent to 9 points) to 6,457 points. In contrast, the Nasdaq Composite rose by 0.2% (equivalent to 36 points) to 21,533 points.