Stocks gain ahead of Big Tech earnings; oil slumps
The S&P 500 climbed 0.3% on Monday. The Russell 2000, which tracks small caps, kicked off the week up 1.6%. The Nasdaq 100 finished the day flat.
Most major S&P 500 groups advanced, except for the technology and energy sectors. The energy sector ETF fell 0.6%. The likes of APA Corporation and Diamondback Energy lost more than 3%, as they joined the biggest daily drop of crude oil this year. Both the US and global crude benchmarks plunged more than 6% at settlement on Monday, after a widely anticipated Israeli strike on Iran did not hit major oil facilities.
Conversely, financials and materials led major S&P 500 sectors.
Shares of mega caps were mixed today. Google, Meta, Amazon, and Apple — which all report earnings this week — gained on the day. Microsoft, which reports on Wednesday, slid 0.4%. Last quarter, big tech companies saw a significant rise in AI expenditures and expected to spend more, while investors questioned whether this spending generated actual returns.
Longer-term Treasury yields rose, hitting their highest levels since early July on an intraday basis. The Japanese yen weakened against the dollar following this weekend’s election.
And, one week ahead of the US vote, Trump Media & Technology Group spiked more than 20% on Monday, recouping losses from the sell-off in August and September.
