The S&P 500 Index ($SPX) (SPY) Monday closed down -0.31%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down -0.41%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -0.34%.
Stock indexes on Monday posted moderate losses as some hawkish Fed comments pushed T-note yields higher and undercut stocks. Atlanta Fed President Bostic said if the economy performs as expected, the Fed can be patient on interest rates, and he expects just one 25 bp rate cut this year. Bostic’s projection is less than the three 25 bp rate cuts the FOMC has projected for this year. Also, Fed Governor Cook said restoring price stability may take a "cautious approach to easing monetary policy over time," and cutting interest rates too soon could risk inflation becoming entrenched.
