S&P 500 ends down; Apple dips ahead of quarterly report
SPY•The S&P 500 fell 0.50% to 7,542.27 on Monday, while the Nasdaq lost 1.07% and the Dow rose 0.43%. Apple shares declined ahead of its quarterly report after the bell, as Oracle fell after plans to raise $20 billion through debt and a share sale.
1. Indexes close mixed
The S&P 500 ended lower on Monday as oil prices fell on optimism about a potential U.S.-Iran peace agreement, while investors awaited U.S. midterm elections. The index lost 37.80 points, or 0.50%, to 7,542.27; the Nasdaq fell 272.68 points, or 1.07%, to 25,164.32, and the Dow gained 221.88 points, or 0.43%, to 51,992.19.
2. Earnings and financing focus
Apple declined ahead of its quarterly report after the bell, with investors focused on rising memory-chip costs. Oracle dropped after regulatory filings showed it plans to raise $20 billion through debt and a share sale. Palantir also dipped before reporting after the bell, while AMD fell ahead of its report on Tuesday.
3. AI spending concerns
The Nasdaq fell 5.3% in October after a selloff tied to concerns that heavy AI infrastructure spending is outpacing near-term cash generation. A third-quarter earnings increase of more than 30% year over year is expected for S&P 500 companies, with AI heavyweights accounting for much of the rise, while the index's valuation stood at about 19 times expected earnings, its lowest since 2023.
