US Stock Market Today: S&P 500, Dow Jones Hit New Record As US, China Come Close To Trade Deal
Easing trade tensions between the world's two largest economies are boosting investor confidence, fuelling an extension of the equities rally from the April lows.
The main Wall Street indices hit a fresh record in the early minutes of trading on Monday, as growing hopes around the US-China trade deal further lifted sentiments at the stock market.
The Dow Jones Industrial Average was trading 265 points or 0.54% up, S&P 500 rose 0.96%, and Nasdaq Composite was up 1.61%.
Easing trade tensions between the world's two largest economies are boosting investor confidence, fuelling an extension of the equities rally from the April lows, when markets tumbled as Trump sought to rewrite global trade rules. The rally now faces critical tests this week, with the Federal Reserve expected to cut interest rates and earnings from major AI players set to reveal how durable the sector’s profit boom really is.
“With the Fed on track to cut rates, extending the run would appear to hinge on this week’s lineup of high-profile earnings releases,” said Chris Larkin at E*Trade from Morgan Stanley to Bloomberg. “And it may, barring any surprises in US-China trade negotiations.”
“With companies having reported strong third-quarter results so far amid a favorable backdrop, we expect US stocks to rally further in the coming months,” added Ulrike Hoffmann-Burchardi at UBS Global Wealth Management as per the news agency. “So, we maintain our attractive view on US equities, forecasting the S&P 500 to reach 7,300 by June 2026.”
Four of the 11 sectoral indices were trading in the red on Monday. Communication services and consumer discretionary led the advance, while utilities and consumer staples were the sectors in red.
Nvidia, Tesla, Palantir, Intel, Microsoft, Meta Platforms, and Apple were all trading at an advance, boosted by investor optimism.
Spot gold fell 3% to $3,988.02 an ounce. Crude oil prices rose, with the West Texas trading 0.21% higher at $61.63 per barrel.
The Bloomberg Dollar Index was little changed, with the British Pound rising 0.14% at $1.3330 and the Japanese yen at 153.09 per dollar.
Bitcoin, the largest traded cryptocurrency was up 1.46% at $115,014.33.
As the US market opened, the Dow Jones Industrial Average gained around 200 points, or 0.4%, whereas the S&P 500 jumped 0.9%, and tech-heavy Nasdaq Composite was up 1.4%.
