Stock market today: Wall Street opens lower in final days of a banner year for US stocks

U.S. stocks opened lower as the market's strong performance in 2024 looked set to end on a downbeat note. The S&P 500 fell 1.3% early Monday. With only two days remaining in the year, the benchmark index is still poised to mark its second consecutive yearly gain of more than 20%. The Dow Jones Industrial Average dropped by 534 points, or 1.2%, and the Nasdaq composite fell 1.5%. Declines in major tech companies like Apple and Microsoft contributed to the market downturn. Boeing's shares also dropped after one of its jets skidded off a runway in South Korea, resulting in the deaths of 179 of the 181 people on board.

Earlier on Monday, Wall Street showed signs of retreat in light premarket trading as the year winds down without the euphoria that had driven markets to record highs earlier in 2024. Futures for the S&P 500 slid 0.4%, while futures for the Dow Jones Industrial Average dropped 0.3%.

In South Korea, the Kospi index fell by 0.2% to 2,399.49, and shares of Jeju Air Co., a low-cost airline, lost 8.7%. This came after a Boeing 737-800 operated by the airline skidded off a runway, crashed into a concrete wall, and burst into flames on Sunday, killing 179 people. Authorities are investigating why the aircraft’s landing gear failed to deploy. This tragic incident added to Boeing’s troubles, which included a machinists' strike, safety concerns with its best-selling aircraft, and a decline in its stock price. Boeing's shares fell 3% in premarket trading and have dropped more than 30% in 2024.

Despite a post-Christmas slowdown, U.S. financial markets are nearing another exceptional annual performance. The S&P 500 is expected to finish the year with a gain of around 25%, marking a second consecutive year of more than 20% growth, a feat not seen since 1997-1998.

This growth was fueled by positive economic data, with consumers continuing to spend and the labor market remaining strong. Inflation, while still high, has been gradually easing. These economic trends, coupled with the Federal Reserve's decision to cut interest rates multiple times this year, helped drive market gains. Recently, the Fed made its third interest rate cut of 2024.

In Asia, Tokyo’s Nikkei 225 index closed down 1% at 39,894.54. The last trading session of the year ended with the Japan Exchange Group’s CEO, Hiromi Yamaji, apologizing during the year-end ceremony for a recent insider trading scandal. He acknowledged the importance of restoring trust in the market, promising to enhance training and verify the findings of an independent investigation.

In European trading, Germany's DAX index dipped by 0.1%, the CAC 40 in Paris rose 0.2%, and the FTSE 100 in Britain remained unchanged. The Hang Seng in Hong Kong lost 0.2%, while the Shanghai Composite index gained 0.2%. Australia's S&P/ASX 200 dropped 0.3%.

Crude oil prices saw slight increases, with U.S. benchmark crude rising by 28 cents to $70.88 per barrel and Brent crude gaining 20 cents to $73.99 per barrel. The dollar traded at 157.55 yen, and the euro climbed to $1.0445.