Highlights
Major stock indexes rebounded Monday to end at record closing highs after President Trump said US-Iran talks were continuing -- but most stocks sagged. Earlier, stocks dropped on reports and comments from Trump suggesting talks had been suspended. The Dow Jones industrial average firmed 0.1 percent while the S&P 500 gained 0.3 percent and the Nasdaq was up 0.4 percent. WTI crude oil futures jumped, bond yields pared early gains but remained higher, the dollar rose too.
Equities reacted favorably to better than expected manufacturing purchasing managers report, although it featured cautious comments from survey participants on fallout from the Iran war, and elevated input costs.
Among technology shares, Nvidia rallied along with its partners including Microsoft and HP, after the firm unveiled new microchips. HP Enterprise jumped after a blowout earnings report. Lagging sectors featured banks, pharma, aerospace & defense, airlines, cruiselines, and autos.
Definition
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.
Description
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.