A trader works on the floor of the New York Stock Exchange (NYSE) at the opening bell on November 26, 2024, in New York City.
Michael M. Santiago | Getty Images News | Getty Images
Stocks were little changed Tuesday as a rally to record levels took a pause.
The S&P 500 traded just below the flatline, while the Nasdaq Composite slipped 0.3%. The Dow Jones Industrial Average rose 68 points, or 0.2%.
Shares of artificial intelligence server maker Super Micro Computer jumped 4%, continuing its upwards tear. The stock added 29% on Monday after a special committee said it found “no evidence of misconduct” within the company. Nike and Honeywell, respectively down 1% and 2%, dragged the Dow lower.
Both the S&P 500 and Nasdaq hit record highs on Monday, adding to their strong postelection gains. Since the Nov. 5 vote, S&P 500 has climbed 4.6%, and the Nasdaq has rallied 5.2%. The Dow is up 6% since then, and is trading near the key 45,000 level.
Investors awaited the October job openings report on Tuesday. It is the first in a salvo of data releases expected this week that can provide insight into the strength of the labor market. The main event will be Friday’s November payrolls report.
The data arrives ahead of the Federal Reserve’s policy meeting on Dec. 17-18. Fed funds futures are currently pricing in a nearly 73% probability that the central bank lowers interest rates during its policy gathering, according to CME’s FedWatch Tool.
“Labor is very important,” said Sam Stovall, chief investment strategist at CFRA Research. But “we should not see anything that would upend investors’ expectations that the Fed will cut rates again when they meet in December.”
Traders will also monitor Tuesday speeches from Fed Governor Adriana Kugler and Chicago Fed President Austan Goolsbee slated for the afternoon.
On the earnings front, investors will follow releases from Salesforce and Okta due after the bell.
