US end mostly higher, but energy sector hit by slump in oil

The Nasdaq composite slipped four points, or 0.1 percent, to 4,637. Currency markets saw some wild swings and the rand collapsed to record lows at one point before bouncing.

“None of us know what the future is, but given this moment, where we’ve gotten very conflicting data, it makes investors nervous”, said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh. “Those two things are keeping investors on pins and needles right now”. The last time it was lower was December 5, 2003, when it closed at $30.73 a barrel.

Commodities are also under pressure, with Brent crude oil falling some 2.6% to just $32.70 per barrel. But a 6% plunge in oil prices hit energy and materials stocks, limiting gains on the main indexes.

Freeport-McMoRan sank $1.10, or 20.3 percent, to $4.31, making it the biggest decliner in the S&P 500 index. NRG Energy shed $1.11, or 9.8 percent, to $10.23. Finally, the New Zealand dollar was up 0.15% exchanging at US$0.6550. Macquarie Bank Ltd. slashed its one-month prediction to 6.7 from 6.43, while Standard Chartered Plc reduced its estimate to 6.62 for mid-2016 and to 6.56 for year-end. The boards of both companies have agreed to the deal, and they expect it to close in the middle of the year.

Hospital operators HCA Holdings was the biggest victor among S&P 500 shares, with a 5.5% jump after it raised its profit forecast. The stock added $3.56, or 5.5 percent to $67.83.

On the company front, BAE Systems gained after JP Morgan Cazenove said it believed 2016 will be a big year for defence stocks and upgraded the stock from “neutral” to “overweight”.

Last week, USA stocks posted their worst week in more than four years.

The chaotic trading in China was made worse last week by a so-called circuit breaker mechanism introduced by authorities in an effort to reduce the volatility that had characterized the country’s stock market rout during the summer.

European markets were down. Trading was suspended twice last week after a key index plunged 7 percent.

The CSI300 index .csi300 fell 1.7 percent to 3,303.12 points at 1:28 GMT, while the Shanghai Composite Index .ssec lost 1.7 percent to 3,131.85 points.

Chevron lost 2 percent and Exxon Mobil fell 1 percent Monday. The markets are expected to closely track the Commerce Department’s retail sales report for December, the results of the New York Federal Reserve’s manufacturing survey for January, the Federal Reserve’s industrial production report for December, the University of Michigan’s preliminary consumer sentiment index for January, the weekly jobless claims data and the Federal Reserve’s Beige Book.

“Before we see some meaningful transparency from China in its actions and some stability in the commodity markets, we are not going to get a stabilisation”, he added, saying his firm had become more cautious and been buying up bonds recently.

CURRENCIES: The dollar edged lower to 117.24 yen from 117.63 in the previous day’s trading.