Nasdaq ends more than 1% higher as Broadcom gains; Dow posts a record

NASDAQ ENDS MORE THAN 1% HIGHER AS BROADCOM GAINS; DOW POSTS A RECORD

U.S. stocks ended higher on Monday, with the Nasdaq TVC:IXIC gaining more than 1% and chipmaker shares also rising, while the Dow DJ:DJI registered a record closing high.

Shares of chipmaker Broadcom NASDAQ:AVGO gained 3.7% after the company and Apple NASDAQ:AAPL agreed to expand their partnership through 2031 to develop and supply a range of custom chips. Apple shares rose 1.3%, while an index of semiconductors NASDAQ:SOX jumped 2.2% after two sessions in a row of sharp losses.

Second-quarter earnings season unofficially starts next week with results from many of the big U.S. banks including JPMorgan Chase NYSE:JPM, but investors will also be focused on chip stocks and other companies related to AI.

Shares of Microsoft NASDAQ:MSFT were down 1% after the company said it was cutting about 2.1% of its workforce.

Also down 1% were shares of SpaceX NASDAQ:SPCX, which had a record market debut on June 12. SpaceX is expected to join the Nasdaq 100 NASDAQ:NDX on Tuesday.

Besides the Dow, the S&P 500 Banks Index (.SPXBK) also scored a record closing high along with the S&P 500 Industrials SP:S5INDU index.