US stocks gained at the start of Monday’s session, as investors prepared to digest a flurry of quarterly results from corporate majors alongside a highly anticipated inflation data release.
Shares of smaller and midsized banks managed a slight upward drift, attempting to recoup some of the losses they incurred last week after several institutions issued warnings regarding potential defaults on loans.
Meanwhile, the earnings season shifts into high gear this week. Reports are due from Wall Street heavyweights including Tesla, Ford, GM, Netflix, Procter & Gamble, Coca-Cola, IBM, and Intel. Their financial results will serve as a crucial stress test for global equities that are currently trading at quite high valuations.
At 09:51 AM, the Dow Jones Industrial Average rose 254.07 points, or 0.55%, to 46,452.52. The S&P 500 gained 50.26 points, or 0.75%, to 6,713.77, while the Nasdaq Composite advanced 234.19 points, or 1.03%, to 22,914.16.
At 09:30 AM, the Dow Jones Industrial Average rose 189.46 points, or 0.41%, to 46,381.17. The S&P 500 gained 38.71 points, or 0.58%, to 6,702.72, while the Nasdaq Composite gained 180.31 points, or 0.80%, to 22,860.28.
On Friday, the Dow Jones Industrial Average closed higher 238.37 points, or 0.52%, at 46,190.61, the S&P 500 rose 34.94 points, or 0.53%, to 6,664.01 and the Nasdaq Composite rose 117.44 points, or 0.52%, to 22,679.98.
In the bond market, Treasury yields held relatively steady. The yield on the 10-year Treasury eased to 3.99% from 4.02% late onFriday.
Gainers and Losers
Boeing shares gained 1.3% after the planemaker secured approval from the US Federal Aviation Administration (FAA) to boost its 737 MAX production rate to 42 aircraft per month.
Meanwhile, Micron hit a record high, climbing 3.2% after Barclays raised its price target on the stock.
Other semiconductor names also saw significant rises, with ON Semiconductor and KLA jumping 4.4% and 3.7% respectively.
On the downside, Applovin shares tumbled 5.1% following the disclosure of a short position in the company by Fuzzy Panda.
Bullion Market
Gold prices rose on Monday after a record rally on safe-haven demand.
Spot gold was up 0.3% at $4,2562.84 per ounce, as of 1139 GMT. US gold futures for December delivery climbed 1.6% to $4,280.40 per ounce.
Among other metals, spot silver rose 0.3% to $51.98. Platinum fell 0.8% to $1,596.95 per ounce and palladium dropped nearly 2% to $1,445.24 per ounce.
Crude Oil
Oil prices dipped on Monday, pressured by worries over a global glut as US-China trade tensions added to concerns about an economic slowdown.
Brent crude futures were down 41 cents, or 0.7%, at $60.88 a barrel as of 1210 GMT, while US West Texas Intermediate futures fell 40 cents, or 0.4%, to $57.14.
Last week, the head of the World Trade Organization said she had urged the United States and China to de-escalate trade tensions, warning that a decoupling by the world’s two largest economies could reduce global economic output by 7% over the longer term.
