Wall Street climbed sharply on Monday, with Nvidia up 5.8% and Palantir 8.8%, as artificial intelligence (AI) stocks rebound and progress in Congress raises hopes of ending the U.S. government shutdown.
The Senate cleared an initial hurdle late Sunday on a compromise to restore federal funding, though final approval from Congress remains uncertain.
“The government shutdown lasted longer than expected. There were concerns about the economy, potential flight disruptions, and broader impacts,” said Chris Zaccarelli, chief investment officer at Northlight Asset Management. Tech Stocks Lead the Rebound
Heavyweight tech companies recovered from recent losses. The S&P 500 technology sector index had fallen 4.2% last week. Nvidia, the world’s most valuable company, rose 5.8%, while AI analytics firm Palantir jumped 8.8%. Tesla added 3.7%.
Ross Mayfield, investment strategy analyst at Baird, said, “This is a rebound after being slightly oversold last week. The 'buy the dip' approach is acting quickly in the tech and AI space. Earnings in this sector have been strong.”
Overall, the S&P 500 climbed 1.54% to 6,832.43 points, the Nasdaq gained 2.27% to 23,527.17 points — its largest one-day percentage gain since May 27 — and the Dow Jones Industrial Average rose 0.81% to 47,368.63 points.
The small-cap Russell 2000 added 0.9%, while the PHLX semiconductor index jumped 3%. Trading volume was relatively light at 17.9 billion shares, compared with a 20-session average of 20.8 billion. Airlines Face Pressure
Airlines were under pressure as flight cuts and air traffic controller shortages continued to disrupt travel. United Airlines fell 1.3%, and American Airlines declined 2.5%. Betting website Polymarket indicated an 88% probability that the shutdown would end this week.
The historic shutdown has left gaps in federal economic data, forcing markets and the Federal Reserve to rely on private indicators, providing a mixed picture. Some Fed officials reiterated caution ahead of upcoming monetary policy decisions, while Fed Governor Stephen Miran called for a significant rate cut. AI Optimism and Earnings Season
The AI sector has fuelled a broader bull run in U.S. stocks this year, though monetisation concerns and internal spending previously triggered a market sell-off. Last week, the Nasdaq recorded its worst performance in more than seven months.
Third-quarter earnings season is nearly complete, with 83% of the 446 S&P 500 companies reporting results exceeding expectations, according to LSEG data.
Health insurer stocks fell after the Senate’s shutdown deal excluded extensions for Affordable Care Act subsidies, pushing the issue to a December vote. Centene dropped 8.8%, Humana fell 5.4%, and Elevance Health declined 4.4%.
Metsera plunged 14.8% after Pfizer won a $10 billion bidding war to acquire the company, while Eli Lilly rose 4.6% to a record high following a Leerink Partners upgrade.
Advancing stocks outnumbered decliners in the S&P 500 by a 1.7-to-1 ratio. The S&P 500 recorded 32 new highs and 8 new lows, while the Nasdaq saw 106 new highs and 128 new lows.
Afghan business representatives are seeking new trade and investment opportunities at Iran’s 26th International Building Industry Exhibition,...
Shipping through the Strait of Hormuz has slowed, according to the latest data, as uncertainty over the waterway’s reopening kept most s...
Azerbaijan’s strategic rise is turning it from a transit state into a regional rule-setter, with the Middle Corridor giving Baku growing infl...
U.S. President Donald Trump says Washington is not seeking an extension of its memorandum of understanding with Iran, claiming the U.S. already controls the Strait of Hormuz through its naval blockade.
Shipping through the Strait of Hormuz has slowed, according to the latest data, as uncertainty over the waterway’s reopening kept most shipowners away. Six commodity vessels crossed the strait on Tuesday, down from nine the day before and below the 10-day daily average of 11.
Iran has said the Strait of Hormuz will remain closed until the U.S. fulfils the terms of an interim deal, including lifting the maritime blockade and sanctions and releasing Iran’s frozen assets.
Ukraine has targeted at least 20 Wildberries warehouses across Russia since 18 July, disrupting a major logistics network. Kyiv says the strikes aim to disrupt alleged military-linked supplies, while the attacks have caused billions of dollars in losses and wider economic pressure.
Russia said its air defences downed 180 drones over the Moscow region overnight, with 620 drones reportedly targeting the area, according to Moscow Mayor Sergei Sobyanin.
Azerbaijan exported goods worth $17.372 million to Armenia between January and July 2026, according to data from the State Customs Committee, as commercial ties between the two South Caucasus neighbours showed signs of expansion.
Online fast-fashion platform Shein lost a London copyright lawsuit against rival Temu on Thursday over photographs used to promote some products.
Norway’s $2.3 trillion sovereign wealth fund has revealed a 0.05 per cent stake in SpaceX worth $1.22 billion, marking its first reported holding in Elon Musk’s space company.
U.S. data analytics firm Palantir Technologies has reported a 93 per cent year-on-year jump in second-quarter revenue, even as the company faces continued criticism over its work with Israel's military and allegations linking its technology to the war in Gaza.a.
Rising trade across the Caspian Sea is strengthening Georgia’s role as a logistics hub and could help the country develop higher-value industries, according to the Asian Development Bank (ADB).
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment