U.S. stocks trimmed early-session losses by midday Monday, as investors showed limited concern after Moody's downgraded U.S. sovereign credit from Aaa to Aa1, effectively stripping the world's largest economy of its last top-tier credit rating.

The S&P 500 index hovered near Friday's close. A green end to the session would mark the sixth consecutive daily gain. The Nasdaq 100 also traded flat, while the Dow Jones Industrial Average outperformed, and small caps lagged.

Bond markets initially reacted sharply, with 30-year Treasury yields spiking above 5% following the downgrade. Yet, buying interest emerged during the session, pulling yields back to 4.95%. The iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) still was down 0.6% on the day.

The U.S. dollar index (DXY) weakened 0.6% to 100.40, reflecting moderate selling pressure on the greenback. Sector performance was muted overall, except for energy, which fell 1.5%. Crude oil slipped 0.4%, while natural gas dropped 6% amid oversupply concerns.

Gold rose 1% to $3,235 per ounce, supported by safe-haven flows. Bitcoin (CRYPTO: BTC) rallied 2%, climbing above the $105,000 mark.

Monday’s Performance In Major US Indices, ETFs

• Is The Dollar’s Global Reserve Role At Risk After Moody’s Downgrade?

According to Benzinga Pro data:

• The SPDR S&P 500 ETF Trust (NYSE:SPY) inched 0.1% up to $594.91.
• The SPDR Dow Jones Industrial Average (NYSE:DIA) rose 0.4% to $428.18.
• The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) edged 0.1% higher to $522.01.
• The iShares Russell 2000 ETF (NYSE:IWM) fell 0.5% to $208.80.
• The Health Care Select Sector SPDR Fund (NYSE:XLV) outperformed, up 0.7%; the Energy Select Sector SPDR Fund (NYSE:XLE) lagged, down 1.5%.

Monday’s Stock Movers

• UnitedHealth Group Inc. (NYSE:UNH) jumped 8%, extending Friday's 6% surge, after several company executives bought shares during the recent selloff.
• New Fortress Energy Inc. (NASDAQ:NFE) rallied 21%, following a nearly 60% decline last week amid lower-than-expected earnings.
• Novavax Inc. (NASDAQ:NVAX) surged 18% after the FDA approved its Nuvaxovid COVID-19 vaccine for high-risk individuals, including seniors over 65 and those aged 12–64 with underlying health conditions. Shares of Moderna Inc. (NASDAQ:MRNA) rose 6.4%.

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• Is The Dollar’s Global Reserve Role At Risk After Moody’s Downgrade?

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