Stocks slipped Monday to correct some of Friday's good gains as buyers hesitated at the new highs set last week. The Dow Jones industrial average eased 0.3 percent, the S&P 500 declined 0.1 percent, and the Nasdaq lost 0.4 percent. US Treasury yields rose while the dollar and oil prices fell.

The broader market improved Monday but weakness in megacaps weighed on the averages as did rising bond yields. Many traders were cautious ahead of big macro news later in the week including congressional appearances on Wednesday and Thursday from Federal Reserve Chair Jerome Powell and employment figures on Friday.

Among sectors, holding up best were financials, technology, materials, industrials and utilities. Lagging were communications services, energy, health care and consumer discretionary. Among market favorites, Intel, IBM and Nvidia had great days while Tesla, Apple and Alphabet came off.

Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.

Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.