U.S. stock indices ended higher on Monday, with the S&P 500 shy of hitting record highs, tracking gains in big tech stocks, cooling oil prices, and easing bond yields.
The S&P 500 ended 1.5% higher, while the Nasdaq 100 rose 1.8% and the Dow Jones Industrial Average ended 1.3% higher. The Russell 2000, which tracks stocks with small market capitalizations, jumped 1.8%.
Among ETFs tracking benchmark indexes, the added 1.5%, and (QQQ) ended Monday 1.9% higher, while the (DIA) rose 1.4%.
Meanwhile, the VanEck Semiconductor ETF (SMH) rose 1%, amid gains in Nvidia (NVDA), Broadcom (AVGO) and Advanced Micro Devices (AMD). The broader Vanguard Information Technology ETF (VGT) added 2%, tracking gains in Magnificent Seven stocks. The Roundhill Mag 7 ETF (MAGS) soared 3.5%.
Retail sentiment on Stocktwits for SPY and QQQ was ‘bearish’ and ‘neutral’ for the DIA, with ‘high’ message volumes.
US Market Drivers
| IndexMoveClose | Dow Jones Industrial Average1.3%53,178.41 | S&P 5001.5%7,600.50 | Nasdaq 1001.8%28,776.80 |
Geopolitics once again took center stage in Monday’s trading session amid signs of easing tension between the U.S. and Iran after President Trump, over the weekend, canceled plans to attack the country.
International Brent crude futures fell 4.73% to end at $83.77 a barrel, and West Texas Intermediate futures settled down 5.11% at $80.34 per barrel. The benchmark 10-year Treasury yield slid almost 6 basis points to about 4.688%.
“Investors are keeping their enthusiasm in check as ‘we’ve been here before,’ and it’s likely the conflict has further to go before reaching a resolution (if it ever does),” wrote Vital Knowledge founder Adam Crisafulli in a note accessed by CNBC.
With earnings season underway, investor attention seems to be on corporate performance and management commentary. “Markets are transitioning from a flow-driven environment back to one increasingly dictated by earnings, corporate demand, and the macroeconomic backdrop,” Citadel Securities’s Scott Rubner wrote in a note.
Trending Stocks To Watch
Exxon Mobil (XOM), Chevron (CVX): President Donald Trump criticized Exxon Mobil Corp. (XOM) and Chevron Corp. (CVX) on Monday, saying the oil giants made “too much money” as crude prices surged during the Iran war. He urged them to lower gasoline prices for consumers.
Robinhood Markets Inc. (HOOD): The company is expanding its initiative to democratize venture capital, creating a dedicated public vehicle designed to let individual retail investors buy into early-stage startup companies.
Boeing (BA): BNP Paribas delivered a rare two-notch rating reversal, upgrading the aerospace giant to ‘Outperform’ from ‘Underperform,’ while the Federal Aviation Administration (FAA) certified the long-delayed 737 MAX 7, removing a key regulatory hurdle for the aircraft.
Advanced Micro Devices (AMD): Wall Street is looking beyond another quarter of AI-driven growth for signs that the company's rapidly expanding server CPU opportunity remains on track ahead of its earnings due Tuesday.
Alphabet (GOOG, GOOGL): Google and German energy firm RWE announced a 15-year power purchase agreement for the output of the 155-megawatt Crooked Creek Solar project in Oklahoma.