U.S. stock markets displayed a mixed performance on Monday as investors digested a fresh batch of economic data. Market participants are closely scrutinizing these figures for clues about the Federal Reserve’s future interest rate decisions.

The Dow Jones Industrial Average experienced a slight decline, while the S&P 500 showed marginal gains. The Nasdaq Composite, heavily weighted with technology stocks, also saw modest increases.

Several factors contributed to the day’s cautious trading. Investors are assessing the strength of the economic recovery and its potential impact on corporate earnings. Rising inflation remains a concern, prompting uncertainty about the Fed’s next move.

Energy stocks performed well, buoyed by rising crude oil prices. Conversely, financial stocks faced headwinds amid concerns about interest rate sensitivity. Sector rotation was evident, with investors shifting positions based on their economic outlook.

Analysts suggest that the market’s direction will depend on upcoming economic releases and the Fed’s communication regarding its policy intentions. Investors are bracing for potential volatility as the economic landscape continues to evolve.