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SP Closes Essentially Flat as Investors Wait for a Catalyst

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NEW YORK, June 7 Reuters The SP 500 ended a languid session nominally lower on Monday, with investors standing by on news of a global minimum corporate tax rate, lingering inflation fears, and a lack of marketmoving catalysts.

The Dow joined the SP to close in negative territory, while the Nasdaq ended higher. Still, the SP and the Dow remained within one percentage point of their record closing highs.

Thematically, were done with earnings, so you have this lull in between earnings when what drives the market is economic data points, said Joseph Sroka, chief investment officer at NovaPoint in Atlanta. Theres not a lot of impetus for investors to take action today.

Theres been this flipflop between whether inflation will be transitory or persistent, and the next card that gets flipped over for that is the CPI report on Thursday, Sroka added.

Smallcaps outperformed as the ongoing retail frenzy boosted stocks whose recent explosive trading volumes have been attributed to social media buzz.

AMC Entertainment Holdings jumped sharply, extending the previous weeks 85 gain.

Other socalled meme stocks, including GameStop Corp and U.S.listed shares of Blackberry Ltd also advanced.

Youve seen a decadeslong, technologyenabled democratization of the market and theres certainly groups of individual investors that flock to these ideas, Sroka said. Were seeing speculative trading in an age of multiple outlets and social media amplifies the news.

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