US stocks surged to record levels on Monday, fueled by robust gains in technology companies. The S&P 500 advanced 0.8 percent, climbing 41.63 points to a record 5,473.23, surpassing its previous all-time high set last Thursday. The Nasdaq Composite, known for its concentration of tech stocks, increased 1 percent, adding 168.14 points to a new peak of 17,857.02. Meanwhile, the Dow Jones Industrial Average gained 0.5 percent, or 188.94 points, closing at 38,778.10.
Among the day’s biggest gainers was Autodesk, which surged 6.5 percent after an investment firm announced plans to delay the software company’s annual meeting to nominate new board directors. The semiconductor sector also performed well, with Broadcom rising nearly 5.5 percent, Micron Technology up more than 4.5 percent, and US-listed shares of Taiwan Semiconductor advancing over 2.5 percent. Apple shares climbed approximately 2 percent, while Microsoft saw an uptick of over 1 percent, both rebounding from earlier declines. Nvidia, however, fell over 0.5 percent, pulling back from its recent record high.
GameStop shares dropped 12.1 percent following its annual shareholder meeting, marking one of the day’s significant decliners.
In the bond market, the yield on the 10-year Treasury note increased to 4.28 percent from 4.22 percent late Friday. The two-year Treasury yield, which is more sensitive to Federal Reserve policy expectations, rose to 4.76 percent from 4.71 percent.
This week is light on major economic reports, with Tuesday’s data on consumer spending at US retailers and Friday’s preliminary assessment of U.S. business activity being notable exceptions. A report on Monday indicated that manufacturing in New York state continues to contract, though the decline was less severe than economists anticipated. Manufacturing remains one of the sectors most adversely affected by the Federal Reserve’s efforts to maintain its main interest rate at the highest level in over two decades. The Fed aims to keep rates elevated long enough to temper economic growth and curb inflation, while also seeking to lower rates before the slowdown escalates into a severe recession.
