Stocks retreat after rally
Wall Street steps back after last week's big run.
NEW YORK (CNNMoney.com) -- Stocks slipped Monday morning following last week's rally as investors considered the Obama stimulus plan and geared up for the day's economic reports.
The Dow Jones industrial average (INDU) lost 0.8% in the early going after ending at a 2-month high on Friday. The Standard & Poor's 500 (SPX) index lost 0.9% and the Nasdaq composite (COMP) fell 1%.
International trading was much stronger. Asian stocks ended higher Monday, with Tokyo's Nikkei index up 2.1% in the first day of 2009 trading. European markets were mixed, with London's FTSE and the CAC in Paris higher, and the DAX in Frankfurt lower.
Wall Street began 2009 with solid gains Friday. The Dow industrials rose 258 points, or nearly 3%. The Nasdaq and the S&P were both up more than 3%.
Art Hogan, chief market strategist at Jefferies & Co., said it would be a challenge to hold on to Friday's gains.
"I certainly think that we're off to a good start, and I think people are more optimistic about 2009 than they were in 2008," said Hogan.
Anthony Conroy, head trader at BNY Brokerage, said stock futures are being held down by "nervousness" about the slew of economic data and earnings results that are expected this week.
Capitol Hill: President-elect Barack Obama discusses his plans to stimulate the economy in a meeting with congressional leaders Monday, after outlining them in a radio address to the nation over the weekend.
Among Obama's goals are an increase in renewable energy production, rebuilding the nation's highway and education infrastructure, and upgrading the nation's health care record keeping. He also plans to cut taxes for middle-income families.
Also on Monday, Congress will hold a hearing on the the SEC's role in the Bernard Madoff scandal, which cost investors an estimated $50 billion.
Economy: The nation's automakers report December sales throughout the day. The numbers are expected to be pretty gloomy, due to the combination of the ongoing recession and concern about the viability of General Motors (GM, Fortune 500), Ford Motor (F, Fortune 500) and Chrysler.
After the markets open, the government reports on construction spending for November. Economists surveyed by Briefing.com expect a 1.2% decline, matching the October drop.
The MacWorld conference for Apple developers gets underway Monday in San Francisco. Apple is expected to unveil new products at the conference. Ahead of that, Apple CEO Steve Jobs said his recent weight loss has been traced to a hormone imbalance for which he is being treated. Jobs said that he will stay on as Apple's CEO as he recovers.
Oil and money: Oil prices rose 54 cents to $46.88 a barrel on the New York Mercantile Exchange as the Israeli military continues its military action in Gaza.
The dollar, boosted by Obama's stimulus plan, climbed against major international currencies, including the euro, the yen and the British pound. 
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