US stocks rose on Monday after a historic close for the S&P 500 index, as investors prepared for the year’s first major inflation update and the next wave of earnings reports.
The S&P 500 (^GSPC) rose 0.3% after a record-setting week in which the benchmark finished above 5,000 for the first time. The Dow Jones Industrial Average (^DJI) rose about 0.5%, while the tech-heavy Nasdaq (^IXIC) gained about 0.3%.
Shares of chip maker Nvidia (NVDA) rose 2% to another record on Monday. British semiconductor designer Arm (ARM) also set a new record, gaining from last week.
The market has gained momentum due to better than expected corporate results, in which big technology companies have the highest share. All eyes are on the next batch of quarterly reports, with John Deere (DE), Coca-Cola (KO), Airbnb (ABNB), and Kraft Heinz (KHC) serving as the highlights on the docket in the coming days.
But this week will bring a new challenge to the rally, as the January reading of the Consumer Price Index will be out on Tuesday. The CPI report will give investors the first insight into how quietly inflation is likely to play in 2024 and, along with an update on consumer spending, will set expectations about the timing and pace of Federal Reserve interest rate cuts this year.
Read more: What the Fed rate decision means for bank accounts, CDs, loans and credit cards
Traders have reduced bets on a March rate cut as warnings from cautious Fed officials continue to echo in their ears. Monday brings more Fedspeak, with regional chairs Michelle Bowman, Tom Barkin and Neel Kashkari scheduled to appear.
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- Mon, Feb 12, 2024 12:45 pm EST
Nvidia market cap overtakes Amazon, Alphabet
Nvidia’s (NVDA) market cap eclipsed the valuations of Amazon (AMZN) and Alphabet (GOOG) as shares of the chip maker hit new all-time highs on Monday.
The stock is up more than 50% year to date, reaching an intraday record of $746.11 per share.
Nvidia’s market cap reached $1.83 billion on Monday, surpassing Amazon’s $1.80 billion. The chip maker is slightly larger than Alphabet’s roughly $1.82 billion market cap.
Nvidia overtook Amazon in market cap on Monday as the chipmaker’s rally extended.
- Mon, Feb 12, 2024 at 12:00 pm EST
Arm stock rises 30% as rally on AI prospects extends
Arm Holdings (ARM) stock rose more than 30% on Monday after the brickchip designer issued better-than-expected revenue guidance, extending last week’s rally of more than 60%.
Investors are betting that the company is well-positioned to benefit from the AI boom.
The stock is up 100% since Arm released its quarterly results last Wednesday.
“Arm’s licensing revenues were supported by growing demand for new technology driven by all things AI,” the company said in its latest shareholder letter.
- Mon, Feb 12, 2024 11:45 am EST
Forget Microsoft and Apple, the race to $2 trillion is on for Alphabet, Amazon and Nvidia
Microsoft (MSFT) may have claimed the top spot from Apple (AAPL) for highest market cap of all-time ($3,124,869,988,352) on Friday, but both companies are slightly in the red today.
Another interesting race for third place is emerging between Alphabet (GOOGL), Amazon (AMZN), and Nvidia (NVDA). Despite a more than respectable 6% gain so far this month for Alphabet, stellar returns from Amazon (up 12%) and Nvidia (up 17%) suggest the latter two could become one of the best. third US public company valuation will reach $2 trillion. (Alphabet fell slightly short of this mark in November 2021.)
‘Mag 7’ market cap race keeps on increasing
Nvidia has accounted for more than a quarter (26%) of the S&P 500’s market cap growth this year, although the stock Only The weighting of the benchmark index is 4%.
- Mon, Feb 12, 2024 11:17 am EST
Stocks rise after S&P 500’s record-setting week
Stocks led the way mid-morning, with the Dow Jones Industrial Average (^DJI) rising 0.3%, while the tech-heavy Nasdaq Composite (^IXIC) also rose 0.3%.
The S&P 500 (^GSPC) rose 0.2% after a record-setting week in which the benchmark finished above 5,000 for the first time.
Chipmaker Nvidia (NVDA) rose 2% to another record high on Monday. Airbnb (ABNB) stock rose 4% ahead of the house-sharing platform’s quarterly results on Tuesday.
- Mon, Feb 12, 2024 10:21am EST
Diamondback stock jumps 8% on merger deal
Diamondback Energy (FANG) jumped more than 8% on Monday after the oil and gas producer announced it would acquire privately held Endeavor Energy for $26 billion in a cash and stock deal.
The consolidation move among Permian Basin players follows a series of recent alliances in the region.
Ed Hirsch, an economist and energy fellow at the University of Houston, told Yahoo Finance the deal is “logical.” “It will certainly give some savings to the combined companies.”
The merger announcement said the combined company would expand 838,000 net acres with production 816,000 barrels of oil and gas per day.
Operations will break even if West Texas Intermediate (CL=F) falls below $40 a barrel. WTI is currently trading above $76 per barrel.
- Mon, Feb 12, 2024 at 9:33am EST
Stocks steady after S&P 500’s record-setting week
The S&P 500 (^GSPC) opened near flatline on Monday after a record-setting week, in which the benchmark finished above 5,000 for the first time.
The Dow Jones Industrial Average (^DJI) fell 0.1%, while the tech-heavy Nasdaq Composite (^IXIC) was trading broadly steady.
Energy, real estate and materials were among the gainers on Monday. Technology and healthcare stocks fell slightly.
Source: finance.yahoo.com
