U.S. equity markets slid Monday as investors readied for the start of earnings season and took in a major deal from Microsoft Corp.
|I:DJI||DOW JONES AVERAGES||35368.47||-543.34||-1.51%|
|I:COMP||NASDAQ COMPOSITE INDEX||14506.896644||-386.86||-2.60%|
The Dow Jones Industrial Average fell 54 points, or 0.16%, while S&P 500 and Nasdaq Composite were lower by 0.02% and 0.36%, respectively. Both the Dow and the S&P finished at all-time highs on Friday as the Nasdaq escaped bear-market territory.
In M&A news, Nuance Communications is being acquired by Microsoft in a $19.7 billion deal, including debt. The all-cash transaction will pay Nuance shareholders $56 per share, a 23% premium to Friday’s closing price. The deal is the second-largest for Microsoft, behind its $26 billion purchase of LinkedIn in 2016.
|NUAN||NUANCE COMMUNICATIONS INC.||55.33||-0.03||-0.05%|
In addition, earnings season is set to kick off on Wednesday with big banks Goldman Sachs Group Inc., JPMorgan Chase & Co. and Wells Fargo & Co. set to release their quarterly results.
|JPM||JPMORGAN CHASE & CO.||151.27||-6.62||-4.19%|
|GS||THE GOLDMAN SACHS GROUP INC.||354.40||-26.54||-6.97%|
|WFC||WELLS FARGO & CO.||56.69||-1.37||-2.36%|
Elsewhere, Uber Technologies Inc. reported gross bookings hit a record high in March as ride hailings snapped back to pre-pandemic levels and food delivery more than doubled from the previous year.
|UBER||UBER TECHNOLOGIES INC.||38.41||-3.10||-7.47%|
Meanwhile, Alibaba Group Holdings was fined a record 18 billion Chinese yuan ($2.75 billion) by Chinese regulators for anticompetitive behavior. However, the fine was smaller than feared.
|BABA||ALIBABA GROUP HOLDING LTD.||128.60||-2.97||-2.26%|
In commodities, West Texas Intermediate crude oil climbed 38 cents or $59.70 per barrel and gold slipped $12.10 to $1,731.20 an ounce.
Overseas markets were lower.
In Europe, Germany’s DAX 30 and France’s CAC 40 both fell 0.13% while Britain’s FTSE 100 lost 0.39%.
Asian markets were weaker across the board with China’s Shanghai Composite index down 1.09%, Hong Kong’s Hang Seng index declining 0.86% and Japan’s Nikkei 225 sliding 0.77%.