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The S&P 500 inched higher Monday as Wall Street braced for a packed week of earnings and economic data. Investors are also awaiting any progress on trade deal negotiations.
The broad market index gained 0.06% to close at 5,528.75, while the Nasdaq Composite ticked 0.1% lower and ended at 17,366.13. The Dow Jones Industrial Average rose 114.09 points, or 0.28%, to settle at 40,227.59.
Four of the “Magnificent Seven” companies — Amazon, Apple, Meta Platforms and Microsoft — briefly came under pressure during Monday’s session ahead of their quarterly reports. Apple and Meta Platforms ended the session modestly higher, both adding 0.4%. Microsoft slipped 0.2% while Amazon was off 0.7%.
Despite the market recovery of the past week, foreign investors “remain on a buyers’ strike on US assets,” according to Deutsche Bank AG.
To gain an almost “real-time” window into how overseas investors have been behaving in recent weeks, Deutsche Bank’s head of FX strategy, George Saravelos, looked at the flows into a variety of funds that take money from overseas and channel it into US stocks and bonds.
The data shows a “sharp stop” in the purchases of US assets by overseas buyers over the past two months, with no sign of a turnaround last week when the cloud over the markets seemed to be lifting, Saravelos wrote in a note on Monday.
The US Treasury ramped up its estimate for federal borrowing for the current quarter to account for a much smaller starting stockpile of cash than it had projected — a consequence of Congress having failed as yet to raise the federal debt limit.
The Treasury Department said in a statement Monday that it now estimates $514 billion in net borrowing for April through June, up from the $123 billion it had penciled in back in February. As is its usual practice, the Treasury had assumed in its previous projections that the debt ceiling — which kicked back in at the start of January — would be raised or suspended. But lawmakers are still working on the issue.
The US Treasury ramped up its estimate for federal borrowing for the current quarter to account for a much smaller starting stockpile of cash than it had projected — a consequence of Congress having failed as yet to raise the federal debt limit.
The Treasury Department said in a statement Monday that it now estimates $514 billion in net borrowing for April through June, up from the $123 billion it had penciled in back in February. As is its usual practice, the Treasury had assumed in its previous projections that the debt ceiling — which kicked back in at the start of January — would be raised or suspended. But lawmakers are still working on the issue.
French President Emmanuel Macron believes the US is open to ramping up sanctions against Russia after he urged Donald Trump last week to get tougher with Vladimir Putin, he said in a Paris Match interview released on Monday.
Macron and Trump spoke about the war and the US peace plan by phone on Wednesday and again in person at the Vatican when the two met on the sidelines of the funeral of Pope Francis, according to the French president.
“I told him once again that we needed to be much firmer with Russia to push Vladimir Putin toward a ceasefire,” Macron said. “I believe I have convinced the Americans of the possibility of escalating threats, and potentially sanctions.”
OpenAI now lets users shop for products within ChatGPT, the latest move by the artificial intelligence startup to expand the reach of its popular chatbot and challenge rivals like Google.
With the new option, announced Monday, users can quickly compare products and click a link within ChatGPT to make a purchase on an external website. To start, the feature only works for a handful of categories, including electronics, fashion, beauty and home goods, with plans to expand to more over time.
The shopping tool is available to all of ChatGPT’s 500 million active users, as well as to those who are not logged into the chatbot.
United Parcel Service Inc. is in talks with robotics startup Figure AI Inc. to use humanoid robots for some tasks in the logistics giant’s network, according to people familiar with the matter.
UPS and Figure began having discussions about a partnership last year and have continued talks in recent months, said the people, who asked not be identified as the details are private.
The exact functions that Figure’s humanoids would handle for UPS remain unclear. The startup hinted at a tie-up with a logistics firm in February, posting a 90-second video on X that showed its sleek, 5-foot-6-inch robot standing beside a conveyor belt, picking and sorting small parcels.
Commerce Secretary Howard Lutnick is poised to secure what could be a large capital gains tax break. But to get it, he’ll have to lock in about $54 million in paper losses as the tariff policies he’s championed have hammered financial markets.
The value of two of Lutnick’s biggest publicly traded holdings — brokerage BGC Group Inc. and property firm Newmark Group Inc. — fell by $54.3 million since his Senate confirmation in February, according to Bloomberg analysis of filings from the Office of Government Ethics released Monday.
He has promised to sell those stakes by May 20 in order to comply with conflict-of-interest laws.
A slew of trade deals should come to fruition between now and President Donald Trump’s tariff reprieve deadline in July, according to UBS.
“Trump’s most extreme rhetoric is unlikely to be the landing zone for the ultimate tariff rates,” wrote Ulrike Hoffmann-Burchardi, head chief investment officer for global equities, in a Monday note. “With many countries expressing a desire to negotiate with the U.S. on tariff policy, and the White House eager to demonstrate ‘success’ given Trump’s low approval rating, we expect a variety of deals or sector carve-outs to materialize within the 90-day pause period.”
“While the latest stock rebound is unlikely to continue in a straight line, we maintain our expectation that the S&P 500 should end the year higher at 5,800,” Hoffmann-Burchardi also wrote. That target implies about 5% upside from Friday’s close.
A widely followed measure of Texas manufacturing activity weakened significantly as executives used words like “chaos” and “insanity” to describe the turmoil spurred by President Donald Trump’s tariffs, according to a report by the Federal Reserve Bank of Dallas.
A general gauge of business activity plunged to its worst reading since May 2020 based on recent survey responses from 87 Texas manufacturers, the Dallas Fed said Monday. While responses indicated modest current growth in production, company outlooks fell to a post-pandemic low as respondents pointed to frazzled supply lines and difficulty in forecasting.
A Tesla Inc. shareholder urged Delaware’s highest court to uphold a decision that struck down Elon Musk’s record-setting pay package, as the world’s richest person fights to recover it on appeal.
A Delaware Chancery Court judge was right to reject Musk’s bid to revive the Tesla compensation plan through a second shareholder vote, lawyers for Richard Tornetta — the Tesla investor who successfully challenged Musk’s pay — argued in an appeal brief filed Friday in the state’s Supreme Court.
Musk’s reliance on the second vote as “ratification” of the board’s approval of his pay package has “no basis in Delaware law,” Tornetta’s lawyers said in the brief. They contended that the Chancery Court’s chief judge had properly evaluated the package in deciding whether it was “entirely fair” to investors — the standard she applied under Delaware law.
A drop in the US dollar on Monday helped support overseas currencies, including havens like the Japanese yen and Swiss franc, as investors sell US assets under Donald Trump’s policies — a trend that JPMorgan Chase & Co. expects to continue.
The Bloomberg Dollar Spot Index is down 0.4%, losing nearly 7% this year, as progress on trade deals fails to emerge. Other safe-haven currencies like the yen and Swiss franc rose nearly 1% on the day.
Porsche AG said its profit margin will slip into the single digits this year, with the luxury-car maker warning about US President Donald Trump’s auto tariffs and higher costs from weak electric-vehicle adoption.
Porsche expects return on sales to fall to as low as 6.5%, down from a previous projection of at least 10%, the German manufacturer said on Monday evening. The Volkswagen AG-controlled brand also lowered its sales revenue outlook to as low as €37 billion ($42.2 billion), from between €39 billion and €40 billion previously.
New taxes passed in the final days of Washington’s legislative session seek to bridge a record budget deficit by shifting more of the tax burden to technology companies like Amazon.com and Microsoft Corp.
The bills, currently awaiting Democratic Governor Bob Ferguson’s signature, will have a much broader impact, shifting business calculations across nearly every industry, including banks, grocery stores and hospitals.
The new levies — passed less than two weeks after they were introduced — inject additional uncertainty into an economy still recovering from the pandemic and bracing for supply chain disruptions from President Donald Trump’s tariffs. A pending Republican economic package also aims to pair federal tax cuts that could add trillions to the national debt with healthcare and other spending reductions.
European Central Bank President Christine Lagarde is struggling to win over staff who say they have little faith in the institution’s top management.
A majority of respondents in a new survey by labour union IPSO said it has little or no trust in the ECB’s Executive Board, especially the president, when it comes to staff matters. That indicates scant progress has been made since a similar pollwas conducted midway through Lagarde’s term in late 2023.
JPMorgan Chase & Co.’s trading desk is turning tactically bullish on US equities, predicting that tailwinds including Big Tech earnings and trade deal announcements will continue to lift stocks after the recent rout.
Still, the bank was quick to emphasise in a note to clients on Monday that the rally’s momentum could fade within weeks, with the negative impacts of US tariffs poised to begin dragging on the economy in the months ahead.
“Overall, the de-escalation trade has room to run,” wrote head of global market intelligence Andrew Tyler, adding, however, that “this is not an all clear for markets.”
Spanish Prime Minister Pedro Sanchez offered few answers and no concrete time frame for when the country’s power grid would be fully operational after suffering the worst outage in Europe in over a decade.
Addressing a nation reeling from the sudden blackout that disrupted public transit, phone services and airports, Sanchez had little to offer beyond words of sympathy.
“We are aware of the relevance and tremendous impact of what’s happening today, of the seriousness for people’s everyday lives, of economic losses for businesses, companies and industries, of the anxiety that it’s causing in thousands of homes,” he said.
A selloff in big tech dragged down stocks at the start of a busy week for corporate earnings and key economic data, with investors awaiting more clarity on the impacts of President Donald Trump’s trade war.
The S&P 500 halted its longest winning run since January, while the Nasdaq 100 dropped over 1%. Investors this week will search results from Microsoft Corp., Apple Inc., Meta Platforms Inc. and Amazon.com Inc. for signs of how they’re being affected by tariff developments.
News that China’s Huawei Technologies Co. is set to test a new chip to rival Nvidia Corp. also hurt sentiment. Short-term Treasuries outperformed. The dollar fell.
Power is gradually being restored in Spain after a blackout knocked out supplies to most of the country on Monday.
Demand plummeted to as little as 10.5 gigawatts around 1:30 pm, just over 40% of consumption just an hour and a half earlier, according to data from Spanish grid operator Red Electrica. By Monday evening, the Spanish grid had restored about 2 gigawatts of lost power.
As darkness approaches, Spain will lose solar power, its biggest source of electricity, through much of Monday afternoon. That could extend the blackout if the grid isn’t able to get gas and nuclear plants connected.
Companies are looking to sell the most high-grade bonds in one day since March, with 15 corporations including Alphabet Inc. preparing blue-chip note sales on Monday, another sign that debt markets are stabilizing after the turmoil brought by tariff announcements early this month.
Alphabet, the parent company of Google, is offering about $4 billion of US high-grade corporate bonds, according to people with knowledge of the matter. The company’s last note sale occurred in 2020, when it raised $10 billion. It’s separately planning to sell its first bonds in Europe as soon as Tuesday.
Other companies including Procter & Gamble Co., the maker of Crest toothpaste and Dawn dishwashing liquid, and homebuilder D.R. Horton Inc. are also teeing up sales. The 15 offerings that have lined up would be the most in the US high-grade market by number of issuers since 16 sold debt on March 24, according to data compiled by Bloomberg.
Silver Lake Management and P2 Capital Partners are exploring a potential sale of Blackhawk Network, seeking more than $5 billion for the prepaid gift card provider, people familiar with the matter said.
The private equity firms are working with advisers to weigh options for the company, said the people, who asked not to be identified because the details aren’t public. They are also considering an initial public offering for the company, the people said.
Blackhawk is already attracting interest from other buyout firms, the people said. Deliberations are in the early stages, and there’s no certainty they’ll result in a transaction, they added. Representatives for Silver Lake and Blackhawk declined to comment. A spokesperson for P2 didn’t immediately respond to requests for comment.
Defense spending surged last year by the most since at least the end of the Cold War, according to data published Monday, with European countries rushing to bolster their security in the face of threats from Russia.
Military expenditure worldwide rose 9.4% from 2023 to just over $2.7 trillion, the Stockholm International Peace Research Institute said in a report. Wars in Ukraine and the Middle East have dramatically worsened the security outlook for Western nations and forced many of them to end a long-standing reluctance to boost spending on their armed forces significantly.
The Bloomberg World Aerospace and Defense Index, which includes companies such as Germany’s Rheinmetall AG and Lockheed Martin Corp., has jumped 16% so far in 2025, even as tariff wars cause a wider stock-market slump.
A group led by Bain Capital’s special-situations arm is in talks to invest as much as $2 billion in insurance broker Acrisure, according to people with knowledge of the matter.
The new investment is set to take the form of preferred equity, said the people, who asked not to be identified discussing confidential information. Terms of the transaction haven’t been finalized and could still change, but any deal would enable BDT & MSD Partners, which led a $3 billion senior preferred stock investment in the company in 2021, to have a portion of its preferred investment in Acrisure redeemed, one of the people said.
Representatives for Bain and BDT & MSD declined to comment. An Acrisure spokesperson didn’t immediately have a comment.
Megacap tech names struggled in Monday’s session. Every member of the Magnificent Seven traded lower. CNBC’s tracker of the index slid nearly 2% in midday trading.
Nvidia led the stocks into the red with a drop of 3.5%. Tesla was the next biggest loser, falling around 3%. Despite Monday’s declines, all seven stocks are still up from where they traded one week ago.
A selloff in the world’s largest technology companies dragged down stocks at the start of a busy week for corporate earnings and key economic data, with investors awaiting more clarity on the impacts of President Donald Trump’s trade war.
The S&P 500 halted its longest winning run since January, while the tech-heavy Nasdaq 100 dropped 1%. Investors obsessed with every twist of tariff developments will wade through results from giants like Microsoft Corp., Apple Inc., Meta Platforms Inc., and Amazon.com Inc. News of that China’s Huawei Technologies Co. is set to test a new chip to rival Nvidia Corp. also hurt sentiment.
The Trump administration announced it is allowing nationwide sales of higher-ethanol E15 gasoline this summer, a move it said would keep gasoline prices low and support US agriculture.
The move, via an emergency waiver issued by the Environmental Protection Agency on Monday, temporarily exempts the 15% ethanol fuel blend from volatility requirements that effectively block sales from terminals starting May 1.
The Trump administration is issuing this waiver, with more to follow, using the same emergency power tapped by former President Joe Biden during the 2022, 2023 and 2024 summer driving seasons, over the objections of refiners and following weeks of lobbying by ethanol advocates. Temporary fuel waivers are more typically allowed to address fuel supply disruptions caused by infrastructure damage after natural disasters.
Nvidia — the AI darling of the 2023-2024 bull market — briefly fell as much as 4.2% in early trading Monday, snapping a four-day rally from last Tuesday through Friday that drove up the Jensen Huang-led stock by 14.5%.
Nvidia’s recent 3.5% decline made it the largest percentage loser in the S&P 500 Monday, trailed by Micron Technology and Tesla, both down 3%.
The S&P 500 fell Monday amid a drop in shares of Big Tech names reporting earnings this week. Wall Street is also awaiting any progress on trade deal negotiations. The broad market index declined 0.8%, while the Nasdaq Composite dropped 1.3%. The Dow Jones Industrial Average moved 136 points lower, or 0.3%.
The S&P 500 was bogged down by a pullback in shares of “Magnificent Seven” companies that are slated to report over the coming days. Amazon and Microsoft each fell more than 1%, while Meta Platforms and Apple slid 0.6%.
Nvidia and Tesla also led the index lower, with both names tumbling more than 3%.
Palo Alto Networks announced on Monday its intent to acquire Protect AI, a startup specialising in securing artificial intelligence and machine learning applications, for an undisclosed sum. The deal is set to close by the first quarter of fiscal year 2026.
“By extending our AI security capabilities to include Protect AI’s innovative solutions for Securing for AI, businesses will be able to build AI applications with comprehensive security,” said Anand Oswal, senior vice president and general manager of network security at Palo Alto Networks, in a release.
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