Stock market today: Nvidia keeps Wall Street in check as oil and gold prices rise

NEW YORK (AP) — U.S. stocks are drifting around their records Monday, ahead of a week that could cement expectations for a coming cut to interest rates by the Federal Reserve.

The S&P 500 edged down by 0.1% in early trading, coming off its 57th all-time high of the year so far. The Dow Jones Industrial Average was up 62 points, or 0.1%, as of 9:35 a.m. Eastern time, and the Nasdaq composite slipped 0.2% from its own record.

A slump of 3% for Nvidia was the heaviest weight on the market following reports that China is probing it for potential antitrust violations. Nvidia has become one of Wall Street’s most valuable companies because its chips are driving much of the world’s move into artificial-intelligence technology. That also gives its stock’s movements more sway on the S&P 500 than nearly every other.

Interpublic Group rose 8.5% after rival Omnicom said it would buy the marketing and communications firm in an all-stock deal. The pair had a combined revenue of $25.6 billion last year. Omnicom, meanwhile, sank 7.5%.

The week’s highlight for Wall Street will arrive midweek when the latest updates on inflation arrive. Economists expect Wednesday’s report to show the inflation that U.S. consumers are feeling remained stuck at roughly the same level last month. A separate report on Thursday, meanwhile, could show an acceleration in inflation at the wholesale level.

They’re the last big pieces of data the Fed will get before its meeting next week on interest rates. The widespread expectation is still that the central bank will cut its main interest rate for the third time this year.

The Fed has been easing its main interest rate from a two-decade high since September to offer more help for the slowing job market, after bringing inflation nearly all the way down to its 2% target. Lower interest rates can ease the brakes off the economy, but they can also offer more fuel for inflation.

Expectations for a series of cuts from the Fed have been a major reason the S&P 500 has set so many all-time highs this year.

On Wall Street, Macy’s climbed 3.9% after an activist investor, Barington Capital Group, called on the retailer to buy back at least $2 billion of its own stock over the next three years and make other moves to help shareholders.

Investment firm Apollo Global Management rose 3.5% after learning it will join the widely followed S&P 500 index before trading begins on Dec. 23. Workday rose 6.9% following the same announcement. Many funds either directly mimic or at least benchmark themselves against the S&P 500 index.

Super Micro Computer rose 3.5% after saying it got an extension that will keep its stock listed on the Nasdaq through Feb. 25, as it works to file its delayed annual report and other required financial statements.

Earlier this month, the maker of servers used in artificial-intelligence technology said an investigation found no evidence of misconduct by its management or by the company’s board following the resignation of its public auditor.

In the oil market, a barrel of benchmark U.S. crude rose 1.4% to $68.17 following the overthrow of Syrian leader Bashar Assad, who sought asylum in Moscow after rebels. The price of gold also rose 1.1% amid the uncertainty created by the end of the Assad family’s 50 years of iron rule.

In stock markets abroad, the Hang Seng jumped 2.8% in Hong Kong after top Chinese leaders agreed on a “moderately loose” monetary policy for the world’s second-largest economy. That’s a shift away from a more cautious, “prudent” stance for the first time in 10 years. A major planning meeting later this week could also bring more stimulus for the Chinese economy.

Stocks in Shanghai were roughly flat.

In Seoul, South Korea’s Kospi slumped 2.8% as the fallout continues after President Yoon Suk Yeol declared martial law last week in the midst of a budget dispute and then reversed that hours later.

In the bond market, the yield on the 10-year Treasury rose to 4.17% from 4.15% late Friday.

___

AP Business Writers Matt Ott and Elaine Kurtenbach contributed.