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S&P 500, Dow, Nasdaq today: US stocks closed higher on Monday, the S&P 500 rose 0.50% to close at 6,950.23, while the Dow Jones Industrial Average gained 313.69 points, or 0.64%, ending the session at 49,412.40, and the Nasdaq Composite added 0.43% to finish at 23,601.36.

S&P 500, Dow, Nasdaq Close Higher After Tech Giants Lead the US Stock Market Rally Today

Strength in large technology stocks helped lift the market, with Apple jumping about 3%, Meta Platforms climbing roughly 2%, and Microsoft rising around 1% ahead of their earnings reports later this week, as per a report.

Trump Tariff Threat on Canada Sparks Market Attention

Investors were also watching political developments closely. Over the weekend, US president Donald Trump warned he could impose a 100% tariff on goods imported from Canada if the country were to strike a trade deal with China, and Canadian Prime Minister Mark Carney responded by saying Ottawa has “no intention” of negotiating a free trade agreement with Beijing, as per a CNBC report.

Adam Crisafulli of Vital Knowledge described the situation as fluid, pointing out that markets do not appear overly concerned that the tariff threat will become reality. He said, “The situation remains very fluid. No one seems particularly worried about Trump’s 100% Canadian tariff threat coming to fruition (especially since Canadian officials, including Carney, insist the country isn’t negotiating a free trade deal with China), but the constant wielding of import taxes as a cudgel to pressure allies is still slowly eroding sentiment,” as quoted by CNBC.

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Government Shutdown Fear Looms

Concerns in Washington added another layer of uncertainty. Outrage grew after federal immigration agents fatally shot a US citizen in Minnesota for the second time this month, raising fears of a potential government shutdown.

While several Democratic senators said they would not support a $1.2 trillion funding package if it includes funding for the Department of Homeland Security. However, a person familiar with Senate Republican leadership said DHS funding would not be removed from the bill, as reported by CNBC.

Gold Price Today Soars to Record High Amid Market Uncertainty

As political and fiscal risks mounted, investors turned to safe-haven assets. Gold prices rallied to a new all-time high on Monday, briefly surpassing $5,100 per ounce.

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Investor Sentiment Cautious Amid Geopolitical Risks

Despite the backdrop of uncertainty, some strategists pointed to signs of economic resilience. Tom Hainlin, national investment strategist at US Bank Asset Management Group, said that, “Irrespective of a lot of geopolitical uncertainty and policy uncertainty, consumers still look like they’re in okay shape and continue to spend money, and businesses look like they’re doing well profitability wise and still investing those profits in AI and other productivity tools,” as quoted by CNBC.

Earnings Season Kicks Off: Big Tech in Focus

Earnings season is set to intensify this week, with more than 90 S&P 500 companies scheduled to report results. Several major technology names are in focus, including Meta, Tesla, and Microsoft on Wednesday, followed by Apple on Thursday. So far, the earnings season has been strong, with 76% of reporting companies beating expectations, according to FactSet, even though some stocks, including Intel and Netflix, have declined despite better-than-expected results.

Fed Rate Decision Expected This Week: What Investors Are Watching

Meanwhile, the Federal Reserve is expected to announce its first interest rate decision of the year on Wednesday. Even though, the central bank is widely expected to keep rates unchanged, investors will be looking for clues on the timing of future cuts. Markets are currently pricing in two quarter-point rate cuts by the end of 2026, as per the CME FedWatch Tool.

Wall Street Rebounds After Consecutive Weekly Losses

Monday’s gains followed a losing week on Wall Street. The S&P 500 fell about 0.4% last week, marking its second consecutive weekly decline as geopolitical tensions unsettled investors. Sentiment improved slightly toward the end of the week after Trump said a “framework” for a deal involving Greenland had been reached.

FAQs

Why did US stocks rise on Monday?
Tech stocks like Apple, Meta, and Microsoft led the market higher, while investors weighed earnings reports and Fed expectations.

Why is gold hitting record highs?
Investors turned to gold as a safe haven amid political uncertainty and potential government shutdown fears.