By William L. Watts and Carla Mozee, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks posted a mixed performance
Monday as investors awaited economic data, including the June jobs
report later this week, leaving major indexes on track for the
biggest second-quarter gains since 2009.
The S&P 500 (SPX) declined 0.48 point, or less than 0.1%, to
1,960.48, while the Dow Jones Industrial Average (DJI) lost 31.03
points, or 0.2%, to 16,820.81 The Nasdaq Composite (RIXF) rose 6.21
points, or 0.1%, to 4,404.14. See: Stock market live blog.
"Equities are on track for their fifth straight month of gains
as investors continue to shrug off market concerns and carry on
embracing risk. However, the current lofty market levels are
creating concerns that global central banks are storing up
dangerous risks of excessive leverage as they pursue overly
stimulative policy for too long," said Rebecca O'Keeffe, head of
investment at Interactive Investors in London, in a note.
Among individual stocks, shares of Yahoo Inc. (YHOO) gained 2%
after Piper Jaffray upgraded shares to overweight.
The economic calendar is light. Stocks posted little reaction to
a weaker-than-expected reading on the Chicago Purchasing Managers'
Index, which came in at 62.6. Economists polled by MarketWatch had
forecast a reading of 64.3. In May, the business barometer
accelerated to 65.5, its highest level of the PMI since
October.
The National Association of Realtors' gauge of pending
home-sales for May is due at 10 a.m. Eastern. The April reading
showed a rise of 0.4%.
Financial stocks will likely be in focus during the session, as
the U.S. Justice Department is expected to announce BNP Paribas
will pay nearly $9 billion in a settlement for allegedly engaging
in transactions with sanctioned countries. Executives at the French
bank had admitted it had been processing potentially illicit dollar
transactions with countries on Washington's blacklist years after
the U.S. began investigating the lender.
Also read: MannKind leaps, American Apparel sinks
This week will be shortened by the Independence Day holiday on
Friday, which means closely watched U.S. jobs data for June will be
released on Thursday. Economists are looking for the addition of
215,000 nonfarm-payrolls jobs and no change in the unemployment
rate of 6.3%.
Monday's session will mark the end of trading for June as well
as for the second quarter. After a run to record closes, the
S&P 500 Index is poised for a quarterly gain of 4.7%, and the
Dow Jones Industrial Average was looking at an increase of 2.2%.
The Nasdaq Composite Index was also set for a quarterly gain of
4.8%.
For the first half of 2014, the S&P 500 was on track for a
6% rise, with the Dow industrials up 1.4%, and the Nasdaq up 5.4%.
Airline, pharmaceutical, and utilities stocks led advancers during
the period, which was marked by the impact of bad weather, a drop
in first-quarter gross domestic product and a decline in Treasury
yields.
Also read: Market exuberance out of touch with economy
In other markets, Asian shares ended mixed, with Japan's Nikkei
Average posting a 0.4% gain. European stocks were flat after a
reading of steady inflation in the euro zone.
The ICE dollar index (DXY), which pits the greenback against six
other currencies, fell to 79.985 from 80.331 late Friday.
Oil futures (CLQ4) were off 4 cents at $105.70 a barrel, and
gold futures (GCQ4) declined $6.20 to $1,313.80 an ounce.
More must-reads from MarketWatch:
Forget first-quarter shocker: economy OK
Japanese industry makes (modest) rebound
Europe studying Abenomics lessons from Japan
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