Wall Street's Mixed Opening Amid Inflation Anticipations

Wall Street's main indexes began Monday on a subdued note following record highs for the S&P 500 and Nasdaq. With a key inflation report due, investor focus is on potential rate cuts by the Federal Reserve. Global markets also watched geopolitical events while stocks like Nvidia faced regulatory scrutiny.

Wall Street's main indexes faced a subdued open on Monday, despite recent record highs achieved by the S&P 500 and the Nasdaq. This cautious start comes as investors await a crucial inflation report expected this week, which could sway future monetary policy decisions by the Federal Reserve.

The forthcoming consumer prices index (CPI) data, scheduled for release on Wednesday, is among the last significant economic indicators before the Federal Reserve's December 17-18 meeting. This data may influence the central bank's direction on interest rates. With the unemployment rate climbing to 4.2% in November, predictions for a 25-basis-point rate cut have surged to over 89%, prompting Citigroup and Jefferies to adjust their forecasts accordingly.

Several Federal Reserve officials, including Chair Jerome Powell, have suggested a more cautious approach to monetary policy, citing the economy's resilience. Concurrently, the markets reacted to geopolitical developments, including potential policy shifts in China and political changes in Syria, France, and South Korea.

(With inputs from agencies.)