Stocks closed lower on Monday, giving up their gains from earlier in the day.

The S&P, at one point, even managed to break out of their bear market on an intraday basis, but couldn't hold onto those gains by day's end. Although, they don't need much to cross that threshold. A close that's 20% higher from their bear market low close would make it official. And they only need another 0.44% gain to get them over that mark.

Yesterday's headlines were mostly about Apple's much anticipated foray into the Virtual Reality/Augmented Reality space with their Vision Pro headset. Really, it's not just a foray into Virtual Reality, but it's also using AI technology to make it happen. So its showing the promise of both.

Apple's stock actually made new all-time highs on an intraday basis with a gain of 2.21%, before pulling back and closing down by -0.76%.

In other news, it was announced that Palo Alto Networks will be added to the S&P 500 Index on June 20 (before the open), replacing the beleaguered Dish Network. Palo Alto was up 4.40%, making a new all-time high on the news, while Dish lost -2.74%.

On the economic report docket yesterday, the PMI Composite Index came in just under expectations at 54.3 vs. views for 54.5. The Service Index just missed as well at 54.9 vs. estimates for 55.1.

The ISM Services Index was down at 50.3 vs. last month's 51.9 and the consensus for 52.0.

And Factory Orders rose 0.4% m/m, although that was below the consensus for 0.8%.

Today there's not much in the way of economic reports. But tomorrow we'll get MBA Mortgage Applications, and the International Trade in Goods and Services report.

Quite frankly, it's a slow week for economic reports.

But next week we'll get the FOMC Announcement on rates on Wednesday, June 14.

At the moment, the expectation is for the Fed to pause on rates. But there's a growing belief that they may raise another 25 basis points at the July meeting. Of course, that all depends on the data between now and then. But with the latest uptick on the PCE Index (the Fed's preferred inflation gauge), and the better than expected Employment Situation report last week, the odds are currently at nearly 70% for a 25 basis point hike in July.

As you can imagine, all eyes will be on next week's meeting.

But we still have the rest of this week to get through first.

See you tomorrow,