Brendan McDermid | Reuters
S&P 500 futures added 0.02%, while Nasdaq-100 futures gained 0.2%. Futures tied to the Dow Jones Industrial Average inched up 4 points, or 0.01%.
The action came after a jump in AI-related names lifted the major averages. The S&P 500 climbed 1.5% to post its best day since Aug. 4, while the Nasdaq Composite jumped 2.3% for its first closing record since June. The Dow Industrials rose 366 points, or 0.7%.
Tech heavy hitters carried the rally, with Meta Platforms surging more than 11%. Chipmakers Intel and Advanced Micro Devices surged 12% and roughly 10%, with AMD touching a $1 trillion market cap. Nvidia gained 2%, and fiber optic giant Corning advanced almost 6%.
A decline in oil prices fueled the stock market’s gains, with West Texas Intermediate crude futures dropping 4.5% to $95.78 a barrel, while international Brent settled more than 3% lower at $100.34 per barrel.
Treasury yields also pulled back, with the 10-year Treasury note yield sliding more than 4 basis points to 4.951%. Even prior to the Federal Reserve’s move to hike its key interest rate by a quarter point last week, Treasury yields have been trending higher as the economy contends with rising debt, elevated oil prices and stubborn inflation.
Traders’ attention will turn to this week’s summit in Washington, DC between President Donald Trump and Chinese leader Xi Jinping. Artificial intelligence, the Iran war, tariffs and rare earth metals are expected to be among the key topics covered in the meeting. Treasury Secretary Scott Bessent convened with Chinese Vice Premier He Lifeng prior to Xi’s visit to the U.S.
Heading into Tuesday, traders will watch for the Richmond Federal Reserve’s manufacturing survey, as well as speeches from New York Fed President John Williams and Richmond Fed President Tom Barkin.
On the earnings front, AutoZone is slated to report in the morning, followed by KB Home after the close.
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