If you were hoping Friday's tech wreckage would bring out the dip buyers in force, Monday's trading session had other ideas. Wall Street spent most of the day hovering around break-even, with major indexes showing all the enthusiasm of someone watching paint dry.

By midday in New York, the market seemed content to sit on its hands ahead of what promises to be a busy week of economic data. Traders are eyeing Tuesday's release of official October and November payroll data alongside October retail sales numbers, the kind of reports that can move markets when everyone's already a bit nervous.

The Federal Reserve remains the elephant in the room. According to Fed futures pricing, markets are giving just a 24% chance to another quarter-point rate cut in January. That's a dramatic cooling from earlier expectations, and investors are broadly pricing in only two cuts for all of next year.

You can thank Fed Chair Jerome Powell for that recalibration. Last week he made it pretty clear that policymakers are comfortable hitting pause after three consecutive cuts, adopting what you might call a "let's see what happens" approach. Rate-cut expectations have shifted noticeably further out on the calendar, with traders now anticipating more easing action concentrated in the second half of 2026. Powell's term ends in May, which could potentially open the door to a more dovish successor, assuming the political winds blow that direction.

Tesla Charges Higher While Tech Giants Stumble

Among mega-cap stocks, Tesla Inc. (TSLA) emerged as the star performer. Shares climbed more than 4%, marking the 12th gain in the past 15 sessions and pushing the stock near the record highs it last touched in December 2024.

Tesla has surged roughly 20% over the past three weeks, fueled by growing optimism around the company's self-driving production ramp and robotics initiatives. CEO Elon Musk added fuel to the fire by announcing that Tesla is now testing robotaxis without front passenger safety monitors, a development that signals increasing confidence in the technology's capabilities.

The tech sector wasn't uniformly cheerful, though. ServiceNow Inc. (NOW) suffered a brutal day, plunging nearly 11% after KeyBanc downgraded the stock to Underweight. The culprit? Concerns about artificial intelligence disruption risks, which is somewhat ironic given that AI was supposed to be the technology sector's ticket to endless growth.

Zillow Group Inc. (Z) (ZG) also took it on the chin, sliding about 11% following reports that Alphabet Inc. (GOOGL) is testing a new real estate advertising format. When Google enters your space, it tends to make investors nervous, and Zillow shareholders got a vivid reminder of that dynamic.

Crypto Markets Extend Their Slide

While silver managed to stage a comeback, rebounding 2.2% to around $63 per ounce and nearly erasing Friday's losses, crypto markets continued their downward drift.

Bitcoin (CRYPTO: BTC) fell more than 2% to near $86,000, while Ethereum (CRYPTO: ETH) slipped below the psychologically important $3,000 level. The crypto pain rippled through related equities, with Strategy Inc. (MSTR) sinking nearly 7% and heading toward its lowest close since early October. Circle Internet Group Inc. (CRCL) extended its recent losing streak, dropping 8%.

Monday's Performance Across Major Indices and ETFs

Looking at the exchange-traded fund landscape, the picture was similarly muted:

• The Vanguard S&P 500 ETF (NYSE:VOO) flattened at $625.96.
• The SPDR Dow Jones Industrial Average (NYSE:DIA) moved 0.2% lower to $484.37.
• The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) eased 0.2% to $612.18.
• The iShares Russell 2000 ETF (NYSE:IWM) fell 0.8% to $252.08.
• The Health Care Select Sector SPDR Fund (NYSE:XLV) outperformed with a 0.90% gain, while the Energy Select Sector SPDR Fund (NYSE:XLE) lagged badly, down 1.3%.

Russell 1000's Top 5 Gainers on Monday

Russell 1000's Top 5 Losers on Monday

The overall picture? Markets are in waiting mode, with traders reluctant to make big bets until they get more clarity on the economic data front and the Fed's next moves. Tesla's march toward record territory provided some excitement, but the broader mood remains cautious as investors navigate the crosscurrents of cooling rate-cut expectations and lingering uncertainty about where the economy goes from here.