Tech Stocks Propel Market Amid Shutdown Fears
The Nasdaq and S&P 500 saw gains on Monday as technology stocks surged, despite concerns over a potential U.S. government shutdown. Investors focused on growth from AI and resilient economic indicators, while the energy sector lagged amid falling oil prices. Financial markets largely ignored shutdown threats.
The Nasdaq composite and S&P 500 saw modest increases on Monday, with technology stocks leading market gains. This came amid investor concerns about a potential U.S. government shutdown and hawkish remarks from a Federal Reserve official.
While the technology sector bolstered the S&P 500, investors bet on artificial intelligence growth and anticipated Fed rate cuts due to inflation. Despite looming government funding conflicts, positive economic indicators, such as housing market data, kept investor sentiment optimistic.
Among notable market moves, Electronic Arts saw a 4.6% rise after a $55 billion privatization deal, while AppLovin and cannabis stocks surged following a video by President Trump promoting hemp benefits. However, with falling oil prices, the energy sector remained the biggest laggard.
(With inputs from agencies.)
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