US stocks: Oil rally pressures S&P, Nasdaq; Microsoft, Salesforce buoy Dow
SPY•US stocks were mixed as oil rose above $106 a barrel, with the Dow up 0.46%, the S&P 500 down 0.05% and the Nasdaq down 0.33%. Microsoft and Salesforce gains helped lift the Dow, while technology and chip stocks fell ahead of major bank earnings and inflation data.
1. Indexes mixed
US stock indexes were mixed on Monday, with oil prices rising ahead of big bank earnings and inflation data due later in the week. Brent crude traded above $106 a barrel after deadly strikes on Riyadh's international airport over the weekend; the rise was contained after President Donald Trump said Ukraine and Russia had agreed to halt attacks on each other's energy facilities.
2. Technology weighs
Technology majors on the S&P 500 fell 1%, while the Philadelphia semiconductor index dropped 2.7% to a three-week low. Microsoft rose 1.4%, taking its market capitalization above $4 trillion for the first time in a year after announcing plans for a major deployment of its own AI chips. Salesforce gained 2.4% after BofA Global Research upgraded it twice to “buy” from “underperform.”
3. Earnings and data ahead
At 11:28 a.m. ET, the Dow rose 0.46%, the S&P 500 fell 0.05% and the Nasdaq lost 0.33%. Goldman Sachs, Citigroup and JPMorgan Chase were set to report results starting Tuesday; S&P 500 earnings were expected to rise 30.6% in the third quarter, according to LSEG IBES data. Markets priced in a 19% chance of a Federal Reserve rate increase this month, while US consumer and producer inflation data and retail sales figures were due later in the week.
