The US stock market kicked off September with notable declines following a strong performance in August. The S&P 500 dropped by 0.7%, while the Dow Jones fell nearly 200 points and the Nasdaq decreased by 1%. This downward trend sets the tone for what is typically a challenging month for the stock market.

Economic Data and Market Focus: Investors returned from the Labor Day holiday to a week filled with crucial economic data. The spotlight will be on the ISM Manufacturing PMI, which is expected to provide insights into the health of the manufacturing sector. In addition, labor market indicators such as the JOLTS report and the jobs report will be released later in the week. These reports are anticipated to give further clarity on the US economic performance and influence the Federal Reserve's decision on a potential rate cut this month.

Sector Performance: The market saw significant declines in several sectors. Energy, tech, and materials were among the worst-performing sectors. Specifically, major technology stocks experienced losses: Microsoft dropped by 0.1%, Apple fell by 0.7%, Nvidia saw a significant decline of 4.6%, Amazon decreased by 1.1%, Meta dropped by 0.3%, and Alphabet fell by 1.7%. In contrast, Tesla managed to gain approximately 1.6%, standing out amid the general market downturn.

Individual Stock News: In individual stock news, U.S. Steel shares fell by about 4% after comments from Vice President Kamala Harris suggested the company should remain American-owned and operated. This statement has impacted investor sentiment and contributed to the decline in U.S. Steel's stock value.

As the week progresses, market participants will closely monitor these economic indicators to gauge their impact on the broader economic landscape and potential Federal Reserve policy actions. The data will play a crucial role in shaping market expectations and influencing stock performance in the coming weeks.

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