Stocks rise as tech giants report earnings, with major economic indicators set to shape the week
Stocks surged on Monday as investors anticipated a busy week of earnings reports from major tech firms, which is expected to fuel further gains for the Nasdaq Composite, CNBC reported.
A de-escalation in geopolitical risks also contributed to the positive market sentiment.
The S&P 500 climbed 0.27 percent to close at 5,823.52. The Dow Jones Industrial Average rose by 273.17 points, or 0.65 percent, ending at 42,387.57.
Meanwhile, the Nasdaq posted a 0.26 percent increase, closing at 18,567.19.
Over the weekend, Israeli airstrikes targeted Iran but did not hit oil or nuclear sites as initially feared.
This eased concerns about disruptions in oil supply, leading to a 6 percent drop in US crude futures and a similar decline in Brent crude, the global oil benchmark.
This week is pivotal, being both the busiest week of the third-quarter earnings season and the lead-up to the November 5 US presidential election and November 7 Federal Reserve policy decision.
Five of the so-called ‘Magnificent Seven’ companies — Alphabet, Microsoft, Meta Platforms, Amazon, and Apple — are set to release their latest earnings reports.
On Monday, shares of Apple and Alphabet each saw an approximate 0.9 percent increase.
Horizon Investments’ head of research and quantitative strategies, Mike Dickson, remarked on the market’s focus, saying, “Given high valuations overall, there’s going to be a laser focus on if they’re able to continue to hit those growth numbers.”
In addition to earnings, the market is also monitoring key economic indicators.
A preliminary reading of third-quarter GDP is expected on Wednesday, followed by the September personal consumption expenditures (PCE) price index on Thursday, and the October US jobs report scheduled for release on Friday.
