U.S. stocks were muted Monday morning as investors await more corporate earnings, the latest inflation report and a much-anticipated meeting between President Biden and House Speaker Kevin McCarthy over the debt ceiling this week.
The S&P 500 (^GSPC) rose 0.10% at the market open, while futures on the Dow Jones Industrial Average (^DJI) added 59 points, or 0.18%. The technology-heavy Nasdaq Composite (^IXIC) was down 0.10%.
Regional banks stocks extended Friday’s rally. PacWest Bancorp (PACW) stock soared nearly 30% after the bank cut its quarterly dividend and CEO Paul Taylor reiterated the bank is “sound.”
The KBW regional banking index (KRX) popped nearly 2% after gaining nearly 5% Friday. Despite the early morning boost, PacWest shares are still set to open about 30% lower than a week ago.
Stocks continued to react to Berkshire Hathaway’s annual shareholder meeting held over the weekend in Omaha, Nebraska. Berkshire stock (BRK-A, BRK-B) ticked higher by more than 1% while Occidental Petroleum (OXY) shares traded near the flatline after Warren Buffett said Berkshire won’t be buying a controlling stake in the Houston-based oil company.
Shares of Tyson Foods (TSN) sank more than 12% as the company cut its annual sales outlook range by $2 billion and missed Wall Street estimates for earnings per share and revenue in the first quarter.
Elsewhere in corporate earnings, Dish Networks (DISH) rose 4% despite reporting softer-than-expected quarterly earnings. Six Flags (SIX) stock rose more than 21% as the theme-park operator saw fewer guests than last year but higher-than-expected revenue and increased spend per customer.
In commodities, oil futures popped on Monday morning. West Texas Intermediate (CL=F) and Brent (BZ=F) were up more than 2%. Brent Crude prices sat at nearly $77 a barrel.
Wholesalers inventories and trade sales came in weaker than expected on Monday. Wholesale inventories remained flat in March, estimates projected a 0.1% increase per Bloomberg. Wholesale trade sales fell 2.1% in March, significantly lower than the 0.4% positive projection according to Bloomberg consensus data.
Markets await further economic news this week as Wednesday brings the latest highly anticipated inflation report.
The United States debt will also be in focus this week after Treasury Secretary Janet Yellen said the country could default as early as early as June 1. President Biden is expected to meet with McCarthy and other top congressional leaders to discuss solutions on Tuesday. Historically, uncertainty surrounding the debt ceiling has weighed on stocks.
Josh is a reporter for Yahoo Finance.
Click here for the latest stock market news and in-depth analysis, including events that move stocks
Read the latest financial and business news from Yahoo Finance
