U.S. stocks rose on Monday despite political gridlock and trade concerns. The Dow Jones Industrial Average (DJI) rose 1.1%, or more than 500 points, while the S&P 500 (GSPC) gained 1.1%. The Nasdaq Composite (IXIC) led major averages higher, rising 1.4%, powered by a surge in Apple (AAPL) shares and renewed strength in semiconductor and commodity-linked stocks.
Market Movers:
- Apple (AAPL) — Shares jumped nearly 4% to a record high after reports that iPhone 17 sales are on track to outperform last year’s model by 14% in their first 10 days. The firm also noted that demand in China nearly doubled from the iPhone 16 launch period, easing concerns about Apple’s market share in the region.
- Cleveland-Cliffs (CLF) — The steelmaker soared more than 20% after CEO Lourenco Goncalves announced plans to enter the rare earth mining business, highlighting potential deposits in Michigan and Minnesota. The move positions Cleveland-Cliffs to tap into growing U.S. demand for critical minerals used in EVs, defense systems, and semiconductors, at a time when Washington is seeking to reduce reliance on China’s supply chains.
- Amazon (AMZN) — Shares rose 1.6% as the company worked to recover from a massive AWS outage that temporarily took down platforms like Robinhood (HOOD), Coinbase (COIN), and Reddit. While operations have largely resumed, the disruption underscored how heavily the internet depends on Amazon’s cloud infrastructure — and how systemic risks could ripple through tech.
- Robinhood (HOOD) — Shares gained more than 4% alongside broader crypto-linked names after service returned following the AWS outage. The stock was also buoyed by bitcoin’s recovery above $110,000, with analysts noting retail trading activity is rebounding ahead of earnings season.
Apple’s Record High Lifts Market Mood
Apple’s surge set the tone for a tech-driven rally that carried the Nasdaq to its strongest performance in two weeks. The iPhone maker’s rebound comes after a sluggish start to the year, with analysts pointing to robust early adoption of its iPhone 17 lineup and resilient global demand as signs of consumer confidence.
Counterpoint Research data showing stronger sales in both the U.S. and China helped softenconcerns that Apple’s pricing strategy might backfire amid global economic uncertainty. Analysts at Bank of America noted that pre-order lead times remain elevated, indicating sustained demand and limited supply chain bottlenecks.
Rare Earths Surge on U.S.-Australia Deal
Commodity and mining stocks rose after President Trump and Australian Prime Minister Anthony Albanese signed a critical minerals pact designed to expand access to rare earth supplies outside of China. The agreement marks a strategic step toward reshoring essential materials for clean energy and defense manufacturing — and comes ahead of next week’s planned meeting between Trump and Chinese President Xi Jinping.
Australian producers Lynas Rare Earths and Australian Strategic Materials saw double-digit percentage gains, while Cleveland-Cliffs’ announcement that it plans to mine rare earths added to the sector’s momentum. Analysts from William Blair said government backing and direct investment could create “a second meaningful leg up” for U.S.-aligned miners.
The developments come amid an intensifying global race for rare earth resources, which are crucial in semiconductors, EV batteries, and weapons systems. The U.S. deal with Australia — worth an estimated $8.5 billion — signals Washington’s commitment to building a self-sufficient supply chain.
Earnings and Inflation Data in Focus
Investors are now turning their attention to a high-stakes week for earnings, with reports from Tesla (TSLA), Intel (INTC), Netflix (NFLX), and Coca-Cola (KO) on deck. Analysts expect corporate results to help gauge whether the AI-driven and consumer-spending rallies that fueled markets earlier this year still have momentum heading into year-end.
At the same time, the ongoing government shutdown has delayed critical economic data, including last week’s Consumer Price Index report — now expected Friday. Economists warn that prolonged disruptions could dent near-term growth, though most view any drag as temporary. The data will arrive just before the Federal Reserve enters its quiet period ahead of next week’s policy meeting, making it a key signal for investors watching the rate outlook.
Looking Ahead
With Big Tech earnings, fresh inflation data, and high-level trade talks all converging this week, markets appear poised for volatility. For now, Wall Street is betting that strong corporate profits and easing trade tensions can keep the rally alive — even as Washington’s fiscal standoff looms large in the background.