Stocks closed mostly higher Monday, driven by gains in the tech sector, despite rising interest rates. The S&P 500 index rose 0.6% to 5,975, while the Nasdaq Composite jumped 1.2% to 19,865. Investors are focusing on technology innovations and the promise of artificial intelligence (AI) advancements, with many naming chipmaker NVIDIA as a key beneficiary.
The company’s CEO Jensen Huang delivered a keynote speech at the Consumer Electronics Show (CES), which boosted NVIDIA shares nearly 3.5%. Additionally, electronics maker Foxconn reported record December revenues driven by demand for AI technologies. However, bond yields moved higher as investors sold bonds, with the 30-year US Treasury bond touching its highest since November 2023.
The Washington Post reported that President-elect Donald Trump’s transition team is considering a more limited tariff plan than expected, which may have contributed to the market’s positive sentiment. The Invesco KBW Bank ETF also saw gains after reports of a top Federal Reserve regulator stepping down before Trump’s inauguration, potentially boosting bank stocks.
US stock markets will close on Thursday as former President Jimmy Carter is laid to rest.
Source: https://eu.usatoday.com/story/money/markets/2025/01/06/stock-market-higher-monday/77483661007