US close: Dow gives up solid early gains, ends session flat

dl nyse new york stock exchange wall st street city finance dow jones nasdaq sp finance dollar dollars us usa united states of america 2 — New York Stock ExchangeSharecast photo / Josh White

Wall Street stocks closed mostly in the red on Monday as the Russia-Ukraine conflict continued to heat up and investors prepared for the Fed to raise its target fed funds rate for the first time in almost four years.

At the close, the Dow Jones Industrial Average was flat at 32,945.24, while the S&P 500 was 0.74% softer at 4,173.11 and the Nasdaq Composite saw out the session 2.04% weaker at 12,581.22.

The Dow, which was up more than 300 points at one time, closed just 1.05 points higher on Monday, giving up early gains and doing very little to reverse losses recorded in the previous session.

In focus on Monday was news that fighting had intensified around the Ukrainian capital of Kyiv, as Russian forces carried on assaulting cities across the country, taking the lives of civilians trying to escape in the process.

Ukraine and Russia resumed peace talks on Monday, with Ukrainian officials stating the nation's objective was to secure a ceasefire and an immediate withdrawal of Russian troops, as well as multiple other security guarantees.

Commodity prices, which rallied following the invasion, eased off on Monday, with West Texas Intermediate down 5.78% at $103.01 per barrel and Brent crude heading south 6.04% to $105.87.

However, the yield on the benchmark 10-year Treasury note continued its ascent on Monday, sitting at around 2.144% after jumping more than ten basis points to its highest level in more than three years.

Market participants were also looking ahead to the conclusion of the Federal Reserve's two-day policy meeting on Wednesday, with the central bank expected to hike its target Fed funds rate from zero to 0.25%. Traders will also look to the Fed for its new rates forecasts, as well inflation and economy forecasts, due to the uncertainty stemming from the heightened geopolitical tensions.

In the corporate space, tech stocks such as Apple, Intel, Qualcomm, Marvell, and Nvidia all ended the session lower after fears that a fresh Covid-19 outbreak in China and related restrictions will exacerbate an already stretched supply chain in the country.

No major data points were released on Monday.

Dow Jones - Risers

American Express Co. (AXP) $172.79 2.91%
Travelers Company Inc. (TRV) $177.22 1.99%
Visa Inc. (V) $200.33 1.84%
3M Co. (MMM) $143.52 1.79%
Walmart Inc. (WMT) $144.05 1.39%
Johnson & Johnson (JNJ) $171.69 1.38%
Procter & Gamble Co. (PG) $145.05 1.28%
Coca-Cola Co. (KO) $58.54 1.07%
Unitedhealth Group Inc. (UNH) $487.92 1.05%
JP Morgan Chase & Co. (JPM) $130.17 0.99%