Here's how benchmarks started trading after market open:
Stocks fell lower after a choppy session on Tuesday as investors closed out a very volatile month for Wall Street. The Dow Jones Industrial Average fell over 200 points, while the S&P 500 fell 0.6% and the Nasdaq Composite slipped 0.4% lower.
Tuesday's market moves underscored rising concerns among investors that high inflation is weighing on economic growth. Triggering more fears was Tuesday's euro zone inflation report, with readings surging 8.1% in May to mark a seventh straight month of record highs.
Still, the Dow and S&P 500 were little changed for the month, despite heavy selling pushing the S&P 500 on the brink of a bear market in recent weeks. Meanwhile, the Nasdaq lost about 2% in May as macroeconomic warnings from Snap
Here's how the market settled on Monday:
S&P 500 Index
Dow Jones Industrial Average
Nasdaq Composite Index
Consumer confidence dips in May:
Consumer confidence fell slightly in May after moderately increasing in April as inflationary pressures continue to pressure consumer buying power.
According to The Conference Board's monthly survey, headline confidence fell to 106.4 in May from April's reading of 108.6. Moveover, expectations for six months ahead declined slightly to 77.5 after gain in the prior month.
"Overall, the Present Situation Index remains at strong levels, suggesting growth did not contract further in Q2," Lynn France, senior director of economic indicators at The Conference Board, said in a statement, referring to the current April-June quarter. "That said, with the Expectations Index weakening further, consumers also do not foresee the economy picking up steam in the months ahead. They do expect labor market conditions to remain relatively strong, which should continue to support confidence in the short run."
Home prices surge higher in March:
Rising mortgage rates in not slow down home price growth in March, according to the S&P 500 CoreLogic Case-Shiller Home Price Index published Tuesday, as home prices were 20.6% higher compared to March 2021 and 20% higher than February's print.
The index is a three-month running average ending in March.
Beneath the headline, the index's 10-City Composite rose 19.5% year-over-year in March and 18.7% month-over-month. The 20-City Composite also rose 21.2% annually and 20.3% from the previous month in March. For both readings, March's print was the highest annual price change in over 35 years.
"Those of us who have been anticipating a deceleration in the growth rate of U.S. home prices will have to wait at least a month longer," said Craig Lazzara, managing director at S&P DJI. "All 20 cities saw double-digit increases for the 12 months ended in March, and price growth in 17 cities accelerated relative to February's report."
"Mortgages are becoming more expensive as the Federal Reserve has begun to ratchet up interest rates ,suggesting that the macroeconomic environment may not support extraordinary home price growth for much longer. Although one can safely predict that price gains will begin to decelerate, the timing of the declaration is a more difficult call," Lazzara added.
