U.S. stocks were down modestly in midday trade Monday, as investors prepared for key economic reports and central-bank remarks later in the week, while the U.S. dollar hit a more than eight-month high against major currencies. Investors will closely watch a series of U.S. economic reports this week, particularly Friday's job creation report. Meanwhile, the European Central Bank (ECB) is expected to expand its bond-buying program on Thursday, while U.S. Federal Reserve (Fed) Chair Janet Yellen will deliver a speech Wednesday and testify before Congress on Thursday. In economic news Monday, U.S. pending home sales rose 0.2 percent, ending two consecutive months of declines but far below analyst expectations. The International Monetary Fund (IMF) announced the inclusion of China's yuan, or renminbi, in an exclusive group of currencies that comprise the lender's key basket. The dollar index, which measures the U.S. currency against a basket of other major currencies, hit its highest point since mid-March and was on track for a 3 percent monthly gain, while the prospect of further ECB stimulus dragged the euro down to its weakest since mid-April. West Texas Intermediate (WTI) crude for January delivery was up nearly 1.5 percent to above $42.25 a barrel in midday trade on the New York Mercantile Exchange. OPEC meets Friday and is not expected to change its position on allowing the market to set prices. Gold futures rose about $6 to about $1,062 an ounce in late-morning trade. Gold is on track for its worst month since June 2013. The Dow Jones industrial average fell 0.2 percent in early-afternoon trade. Caterpillar was the biggest gainer, while Home Depot and Nike were the biggest decliners. The broader Standard & Poor's 500 index was down 0.2 percent. Healthcare led five of ten sectors lower. Retail also declined, with shares of Target briefly falling more than 1.5 percent amid reports its website temporarily crashed due to high traffic. Energy led five sectors higher. The technology-heavy Nasdaq composite index lost 0.4 percent. An index of biotechnology stocks fell 1.5 percent, but shares of Apple and Microsoft each traded more than 1 percent higher.
