• Stocks sank on Monday as protestors in China and hawkish comments from Fed officials weighed on the market.
  • Unrest over China's zero-COVID policy could exacerbate supply-chain issues, which are partly responsible for rising inflation.
  • St. Louis Fed President James Bullard added the US had "a ways to go" on rate hikes before claiming victory on the inflation front.

US stocks sank on Monday as protests in China and hawkish comments from Fed officials weighed on the market. 

Anger over China's zero-COVID policy has sparked turmoil across the nation, with protests threatening to exacerbate supply-chain issues in the global economy. Experts say the protests could fuel US inflation, as supply-chain issues have been a major driver of high prices so far. 

Apple stock slipped nearly 3% as unrest broke out in a iPhone factory in Zhengzhou, and the tech giant will have to navigate the possibility of "brutal" shortages into the holiday season, Wedbush warned.

St. Louis Fed President James Bullard expressed more hawkishness on the Fed's inflation fight, noting the central bank still had "a ways to go" before policy was restrictive enough to tame inflation. He estimated the Fed would raise rates to 5%-5.25%. 

Here's where US indexes stood as the market closed at 4:00 p.m. on Monday: 

Here's what else is happening: 

In commodities, bonds, and crypto:

  • Oil prices traded mixed, with West Texas Intermediate up 0.93% to $76.99 a barrel. Brent crude, the international benchmark, dropped 1.02% to $83.73 a barrel.
  • Gold slipped 0.84% to $1,739.85 per ounce.
  • The 10-year yield inched 1 basis point higher to 3.7%.
  • Bitcoin dropped 1.93% to $16,234.42.
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