Stocks start the new trading week mixed: market players wait for the announcement of the new budget proposal from the President Obama. Obama is sending Congress a $3.73 trillion budget that includes a five-year freeze on many domestic spending programs. Republicans and Democrats have argued recently over whether deep spending cuts will slow the economy’s slow recovery.
Bond prices held steady after some of the details of the budget proposal were revealed. The yield on the benchmark 10-year Treasury note was 3.64 percent, unchanged from late Friday. A jump in Treasury bond prices could suggest that investors see U.S. debt as increasingly risky.
The Dow Jones industrial average fell 20 points, or 0.2 percent, to 12,253 in early trading. The S&P 500 rose less than a point to 1,329. The Nasdaq composite gained 4 points, or 0.2 percent, to 2,814.
MGM Resorts International Inc. fell 3.3 percent after reporting a loss of $139 million last quarter, a little less than analysts had expected. Wal-Mart Stores Inc. lost 1 percent after analysts at JPMorgan downgraded the company.