US stocks encountered difficulties in establishing a stable position on Monday. The main focus was on this week's consumer inflation report. Nvidia (NVDA) shares also experienced a decline due to a Chinese antitrust probe. The Dow Jones Industrial Average (^DJI) showed a slight increase after a losing week for the blue-chip index. The S&P 500 (^GSPC) slipped below the flat line, while the tech-heavy Nasdaq Composite (^IXIC) dropped 0.2% following new records. The upcoming consumer inflation report will play a crucial role in shaping the Federal Reserve's final interest rate decision for the year. The November Consumer Price Index on Wednesday will test the widespread expectation of a quarter-point rate cut on December 18 after the latest monthly jobs report failed to change that conviction. Meanwhile, Nvidia's stock slid after Chinese authorities initiated a probe into the chipmaker for potential anti-monopoly law violations. The company's leadership in AI chips has placed it at the center of the US-China tech disputes. However, US-listed Chinese stocks saw a boost after Beijing took the first step towards loosening monetary policy in over a decade, indicating that more and bolder stimulus measures are on the way. Shares in Alibaba (BABA, 9988.HK) and XPeng (XPEV, 9868.HK) jumped, following the lead of stocks in Hong Kong. Markets seem to be handling the sudden fall of President Bashar al-Assad in Syria with relative ease, as haven asset gold (GC=F) rose moderately. The optimism for China's economy is overshadowing any concerns related to geopolitical tensions in Syria, South Korea, France, and other regions.

Impact of Tesla Stock on the Market

Tesla's (TSLA) stock price rose more than 2% on Monday, reaching a 52-week high of $404.80 per share. Since Donald Trump's presidential victory last month, the electric vehicle giant's stock has been a significant winner in the Trump trade. CEO Elon Musk's close relationship with Trump and his involvement with the incoming administration have contributed to the stock rally, with it increasing by more than 50% since November 5.

Nasdaq's Performance Amidst Nvidia's Decline

US stocks opened mixed on Monday as shares of AI chip heavyweight Nvidia (NVDA) slid due to a Chinese antitrust probe. The Dow Jones Industrial Average (^DJI) was slightly higher, while the S&P 500 (^GSPC) fluctuated around the flat line. The tech-heavy Nasdaq Composite (^IXIC) slipped 0.2%. Nvidia shares declined more than 2% after reports that Chinese authorities have launched an antitrust probe into the AI chipmaker amid the escalating US-China tech confrontation. Investors were also awaiting this week's consumer inflation report, which is considered a critical data point for the Federal Reserve when policymakers make their rate-setting decision at the December 18 meeting.

Chinese Stocks' Response to Monetary Policy Changes

US-listed Chinese stocks experienced a surge after Beijing took the first step towards loosening monetary policy in over a decade. This indicates that more and bolder stimulus measures are on the way. Shares in Alibaba (BABA, 9988.HK) and XPeng (XPEV, 9868.HK) jumped, following the lead of stocks in Hong Kong. The positive sentiment towards China's economy is overshadowing any concerns related to geopolitical tensions in Syria, South Korea, France, and other regions.