Stocks rallied early Monday as oil prices declined following a pause in fighting between the U.S. and Iran over the weekend. Investors are also preparing for a busy week of major earnings reports and a potentially surprising Federal Reserve meeting.
The Dow Jones Industrial Average rose by 608 points, or 1.1%. The S&P 500 increased by 0.7%, along with the Nasdaq Composite.
A easing of tensions in the Middle East pushed international Brent crude futures for September delivery down 6.1% to approximately $90.85 a barrel. U.S. West Texas Intermediate crude futures fell 5.8% to $84.16 a barrel.
Meanwhile, tensions escalated elsewhere after Ukraine struck an Iranian commercial vessel in the Caspian Sea, prompting Tehran to accuse Kyiv of a “hostile and criminal act.”
Looking ahead, the markets face numerous challenges this week. Key quarterly reports from Amazon, Apple, Meta Platforms, and Microsoft will be scrutinized for signs of AI spending, especially after Alphabet’s recent disappointing results. These earnings could also impact semiconductor stocks, which are major beneficiaries of the ongoing AI boom.
Source (CNBC)
