Wall Street Falters as Tech Stocks Retreat

Monday saw Wall Street's major indexes end lower, driven by a decline in heavyweight technology stocks. The S&P 500 and Nasdaq saw losses as key stocks like Nvidia and Tesla fell, impacting sectors such as consumer discretionary. Despite fluctuations, optimistic traders expect continued market growth due to factors like AI advancements.

Wall Street's prominent indexes closed lower on Monday, reflecting a slide in tech stocks from last week's highs that elevated the S&P 500 to record territory. The information technology sector dragged the index down as major tech stocks including Nvidia and Palantir dropped.

The Dow Jones Industrial Average also decreased, influenced by Tesla's fall of 3.3% after it hit a record peak last week. Meanwhile, energy stocks rose with a 2% increase in oil prices, counterbalancing the descent in precious metals. Tech stocks' fluctuating valuations remain attractive due to their growth, business moat, and unparalleled financial strength.

Despite Monday's dip, financial markets maintain optimism for a 'Santa Claus rally' and continued growth due to AI and favorable economic conditions. As the indexes approach yearly gains, investor sentiment remains bullish amid anticipated interest-rate cuts and ongoing Federal Reserve easing.

(With inputs from agencies.)