Investing.com – U.S. stocks were mostly lower on Monday as energy stocks fell as oil prices fell and weaker manufacturing data pointed to a slowing economy.
At 2:15 pm ET (1815 GMT), the benchmark was down 0.4%, tech stocks were flat and top-30 stocks were down 308 points, or 0.80%.
Energy stocks start June down
Energy shares fell more than 3%, weighing on the broader market after a continued slump in oil prices as OPEC and its allies, or OPEC+, agreed to extend current output curbs until 2025, although they said they would have to start phasing out some voluntary cuts. after the third quarter.
The decision to ease some production curbs has raised concerns about oversupply at a time when many are questioning the strength of demand for crude oil.
Halliburton Company (NYSE:), Diamondback Energy Inc. (NASDAQ:). Baker Hughes Co (NASDAQ:) were among the top losers.
Paramount Reportedly Agrees to Skydance Merger, Marinemax Raises Takeover Report
Shares of Paramount Global Class B (NASDAQ:) rose more than 58% after the media company agreed to terms to merge with Skydance, CNBC’s David Faber reported Monday.
Skydance increased its offer for Paramount to $8 billion from the previous $5 billion, but the deal still requires the support of owner National Amusements, which owns a 77% stake in Paramount.
MarineMax Inc. (NYSE:) also rose sharply on the merger news after Bloomberg reported the company was in talks to sell to OneWater Marine in a deal valued at $40 per share.
Chips in the spotlight: AMD and Nvidia unveil new artificial intelligence chips
Advanced Micro Devices Inc (NASDAQ:) shares fell more than 2% despite the chipmaker unveiling new artificial intelligence chips, while shares of rival NVIDIA Corporation (NASDAQ:) rose more than 2% after how they introduced their next generation superchips, which replaced the current Blackwell chips.
Decline in manufacturing activity, number of jobs in the non-farm sector, approach to the Fed meeting
Ahead of a busy week on the economic calendar that will feature the most important data, manufacturing activity fell more than expected in May as high interest rates continued to weigh on investment and expansion plans.
“The capex investment environment remains very challenging while interest rates remain elevated,” Jefferies said in a note.
The focus of the week will be upcoming data for May, due out later this week, which should provide more signals about the labor market – another key point for the Fed to cut interest rates.
The central bank is inclined to maintain rates at a stable level.
(Peter Nurse and Ambar Warrick contributed to this report.)