Another rally in big technology shares led equities higher Monday but gains were broadly constrained by consolidation after last week's gains. The Dow Jones industrial average rose 0.5 percent, the S&P 500 gained 0.8 percent to another record close, and the Nasdaq was up 1.0 percent. Bond yields and oil prices rose while the dollar declined.

Big tech names including Alphabet, Amazon, Apple, Meta, Microsoft surged to lead the advance even as Nvidia, the artificial intelligence champion, fell back from its record intra-day high. Other chipmakers advanced. Big tech stocks helped power the S&P 500 and the Nasdaq last week to their seventh gain in the last eight weeks, a remarkable run.

Bond yields rebounded after falling last week amid heavy corporate issuance and hawkish comments from Federal Reserve officials. Minneapolis Fed President Neel Kashkari and Philadelphia Fed President Patrick Harker both suggested they see only one rate cut was likely this year, apparently pushing back against expectations for more rate cuts renewed by soft inflation readings last week.

Best sectors included industrials, consumer discretionary, consumer staples, information technology and financials, in addition to energy. Lagging were utilities, real estate, health care, materials and communications services.

Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.

Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.