Stocks rally even as Nvidia falls, oil drops
SPY•US stocks rose more than 2% as technology shares advanced, while Nvidia fell more than 5% after news of an internal investigation and oil prices dropped following comments by President Donald Trump about Iran.
1. Stocks climb broadly
The Dow rose 2.13%, the S&P 500 gained 2.34% and the Nasdaq advanced 2.65%. AI and technology-related shares rose after last week's selloff, which was tied to the US midterm elections and worries about increased AI and data center regulation.
2. Nvidia and oil fall
Nvidia shares fell more than 5% after news of an internal investigation into whether CEO Jensen Huang had been targeted by a foreign intelligence effort. US crude fell 3.63% to $87.53 a barrel, and Brent dropped 4.9% to $93.50, after Trump said he was highly unlikely to order fresh attacks on Iran as long as talks to end the war progressed.
3. Rates and earnings ahead
Treasury yields were mixed as traders weighed stock-market volatility against expectations that the Federal Reserve will raise rates next month. Traders priced in about an 80% chance of a quarter-point December hike; US consumer price data was due Tuesday. Earnings this week from CoreWeave, Applied Materials and Cisco Systems are set to put the profitability of AI ambitions to the test.
