US Stocks Close Higher as Tesla Surges on Autonomous Vehicle Optimism
US stocks closed mostly higher on Monday, with the tech-heavy Nasdaq 100 leading gains, driven by a significant rise in Tesla shares. The electric vehicle maker surged up to 9% following reports of potential regulatory easing on autonomous vehicles by the incoming Trump administration.
The Nasdaq 100 ended a five-day losing streak, rebounding from a significant drop the previous week. The S&P 500 saw slight gains, while the Dow Jones Industrial Average experienced a minor decline.
Last week’s market decline was influenced by Federal Reserve Chairman Jerome Powell’s comments on interest rates. Investors are now adjusting their expectations for a December rate cut, with probabilities decreasing after Powell’s remarks.
Market participants are closely watching Nvidia’s upcoming third-quarter earnings report, which is highly anticipated. Key economic data releases this week include housing starts, building permits, existing home sales, and initial jobless claims.
At the closing bell, the S&P 500 was up 0.4% at 5,893.62, while the Dow Jones Industrial Average fell 0.1% to 43,389.60. The Nasdaq composite rose 0.6% to 18,791.81.
In other market developments, Spirit Airlines filed for Chapter 11 bankruptcy, and Nvidia faces challenges with its next-gen GPU chip. Uber shares declined due to concerns over Tesla’s autonomous vehicle network.
Morgan Stanley maintained a bullish outlook on stocks, setting a 2025 target for the S&P 500.
In commodities, West Texas Intermediate crude oil rose to $69.14 a barrel, while Brent crude increased to $73.30 a barrel. Gold prices climbed to $2,612.70 an ounce. The 10-year Treasury yield decreased slightly, and Bitcoin saw a rise to $91,300.
As market sentiment continues to evolve, investors remain focused on upcoming economic data and corporate earnings reports to gauge the overall health of the economy and potential future market directions.
By
