Stock Market Today: An Upbeat Start to a Busy Week
US stocks kicked off the week with a beat of positivity, reflecting the recent cautious optimism that has defined recent trading sessions. The S&P 500 inched closer to its record close, gaining 0.35%. The Dow Jones Industrial Average also hovered slightly above the flatline, after breaching the much-anticipated 40,000 mark for the first time last week. However, the real star of the show was the tech-heavy Nasdaq. The index surged 0.6%, reaching a new intraday high early in the session.
This momentum is fueled by anticipation surrounding a key event: chipmaker Nvidia's earnings report, due on Wednesday. Analysts have set the bar high, expecting astronomical growth in both earnings and revenue. A strong showing from Nvidia could act as a catalyst for a broader market rally, particularly within the tech sector.
Fed in Focus
While investors are hoping for a potential interest rate cut by the Federal Reserve, policymakers are suggesting patience. Recent inflation data has fallen short of expectations, prompting the Fed to maintain current rates and allow existing policies to work their magic. The release of the Fed meeting minutes on Wednesday will provide further insights into their stance.
Inflation Concerns Linger
Long-term worries about inflation continue to grow. The recent surge in commodity prices, with copper hitting an all-time high, raises concerns about a potential spillover effect on US inflation. Gold prices also reached intraday records, highlighting investor anxieties.
This week promises to be action-packed. Nvidia's earnings report and the Fed minutes release are the main events to watch, as they will likely influence market direction.
