US stocks turned higher Monday afternoon, extending Wall Street’s record-setting streak as megacap tech stocks once again fueled gains. The Dow Jones Industrial Average added 0.1%, while the S&P 500 rose about 0.4%. The Nasdaq Composite led, up 0.6%, with investors continuing to welcome the Federal Reserve’s return to policy easing.
Big Tech dominated the session’s headlines. Nvidia surged after unveiling plans for a $100 billion investment in OpenAI, Oracle gained on confirmation of its role in a restructured TikTok venture, and Tesla rallied toward a fresh 2025 closing high. Meanwhile, gold pushed to a new record as traders bet on further Fed rate cuts, while cryptocurrencies sank following mass liquidations.
Market Movers:
- Nvidia (NVDA) shares climbed more than 4% as the chipmaker announced it would invest up to $100 billion in OpenAI. The deal will deploy at least 10 gigawatts of Nvidia chips to power OpenAI’s AI infrastructure, with the first systems expected online in 2026. Investors see the move as cementing Nvidia’s dominance in the AI supply chain just days after its $5 billion bet on Intel.
- Oracle (ORCL) rose over 5% after the White House confirmed the company would be a lead investor in a new US-based joint venture that will operate TikTok. Oracle will serve as the group’s data security provider, overseeing TikTok’s recommendation algorithm and retraining it on US servers. The announcement reinforced Oracle’s role in safeguarding American user data and expanded its cloud services footprint.
- Tesla (TSLA) advanced nearly 2% and is on pace to close at its highest level of 2025. Shares have surged over 30% in the past month, helped by Elon Musk’s recent $1 billion share purchase and bullish expectations for its robotaxi business. Investors are also watching for new product rollouts, which analysts believe could support continued momentum.
- Apple (AAPL) added more than 3% after Wedbush lifted its price target on the stock to $310 from $270, the highest on Wall Street. The upgrade reflects expectations for a stronger-than-anticipated iPhone 17 upgrade cycle, with analysts pointing to pent-up demand among hundreds of millions of users. Shares touched their highest level since late 2024 as optimism around hardware sales builds.
- Metsera (MTSR) soared over 60% after Pfizer announced it would acquire the weight-loss drug developer in a deal worth up to $7.3 billion. The acquisition boosts Pfizer’s position in the booming obesity drug market after it abandoned development of its own pill. Investors welcomed the move as a way for Pfizer to regain ground in a competitive space dominated by Eli Lilly and Novo Nordisk.
Gold Rises, Crypto Tumbles
Gold futures climbed to an all-time high above $3,750 per ounce, supported by expectations that the Federal Reserve will deliver two more rate cuts before year-end. Lower interest rates typically benefit precious metals by reducing the opportunity cost of holding non-yielding assets. Demand has also been buoyed by global uncertainty and ongoing retail investor inflows.
Cryptocurrencies, however, dropped significantly. Bitcoin fell 3%, while ether and solana shed even more, as over $1.5 billion in bullish derivative bets were wiped out. Analysts said the liquidation cascade, coupled with uncertainty about regulatory tightening, rattled the broader crypto market and pushed total market capitalization below $4 trillion.
Fed in Focus
Investors are keeping a close eye on the Federal Reserve this week, with Chair Jerome Powell and several other officials set to speak. Stephen Miran, a new Fed governor backed by President Trump, said Monday that interest rates should be about 2 percentage points lower, stoking speculation about how aggressive the central bank might be in the coming months. Markets are also awaiting Friday’s release of the Personal Consumption Expenditures index, the Fed’s preferred inflation gauge.
Economists expect the PCE report to show price pressures remain sticky but subdued enough for the Fed to stay on track with further easing. A softer reading could reinforce bets on another quarter-point rate cut in October, while a hotter print may challenge Wall Street’s optimism.
Political and Corporate Backdrop
Beyond monetary policy, investors are weighing new political and corporate developments. The Trump administration’s plan to impose a $100,000 fee on H1-B work visas has already drawn pushback from corporate giants like Microsoft and Goldman Sachs, who warned staff of possible disruptions. The policy could have significant implications for tech companies reliant on international talent.
Meanwhile, M&A activity is also stirring optimism. Pfizer’s deal for Metsera underscores the pharmaceutical sector’s hunger for weight-loss drug pipelines, while Oracle’s TikTok involvement highlights the continued intertwining of tech, policy, and national security concerns.
Looking Ahead
Wall Street’s rally remains anchored in Big Tech leadership, but this week’s inflation data and Fed commentary will test investor confidence. A dovish PCE print could extend the record-setting run, while any surprises on prices or policy language could spark volatility. For now, markets appear to be pricing in optimism that both corporate earnings momentum and central bank support can coexist, keeping risk appetite elevated into the fall.