Stocks fell on Monday as the selling pressure that hit Wall Street last week continued, as investors braced for a flurry of economic data this week.
The Dow Jones Industrial Average fell 439 points, or about 1%. The S&P 500 fell 1.5%, while the Nasdaq Composite lost 2.2%.
Last week, the S&P 500 fell 3.1%, its worst weekly performance since September. The Dow fell 2.4%, while the Nasdaq fell 3.5%.
The situation came as markets were volatile due to developments in Washington, D.C., with tariff negotiations between the U.S., Mexico, and Canada continuing throughout the week. In an interview aired Sunday, President Donald Trump responded to a question on Fox News about a possible recession by saying that the economy was going through a "transition period."
Political uncertainty is expected to continue this week, coupled with key economic data that could potentially move markets.
The New York Fed’s consumer expectations survey will be published on Monday, followed by the University of Michigan’s consumer sentiment reading on Friday.
On the inflation front, the Consumer Price Index (CPI) report for February is due on Wednesday, followed by the Producer Price Index (PPI) on Thursday.
“Inflation data will dominate the economic calendar this week. Headline and core CPI are likely to have risen at a more moderate pace in February after a sharp increase the previous month, leaving annual gains stable,” Comerica Bank Chief Economist Bill Adams said in a statement.
“Driven by tariffs and the threat of tariffs, producer prices are likely to have risen faster than consumer prices for the second consecutive month, keeping annual PPI at elevated levels.”
