The Dow Jones Industrial Average (^DJI) jumped more than 1.1%, gaining over 500 points, while the S&P 500 (^GSPC) rose nearly 1.1%. The tech-heavy Nasdaq Composite (^IXIC) advanced about 1.4%, boosted by Apple (AAPL), which surged to a record high on robust iPhone 17 demand.
Investors brushed aside a host of economic and political worries to focus on the heart of earnings season, which intensifies this week. Anticipation is building for results from major names including Tesla (TSLA), Intel (INTC), Netflix (NFLX), and Coca-Cola (KO).
After the market closes Monday, attention will turn to Zions Bancorp (ZION), whose third-quarter results come amid lingering concerns about bad loans tied to fraud — an issue that rattled confidence in regional banks last week.
A brief pause in trade tensions also lifted sentiment. Treasury Secretary Scott Bessent said U.S.-China relations have “deescalated,” with negotiations set to resume in Malaysia this week. President Trump, meanwhile, highlighted rare earths, fentanyl, and soybeans as key priorities, signaling a softer stance that could delay or prevent the planned 100% tariff hike on Chinese imports scheduled for November 1.
Despite the ongoing government shutdown — now entering its third week — economists expect only a short-term impact on GDP growth. The stalemate has stalled key economic releases, but the Bureau of Labor Statistics plans to publish September’s Consumer Price Index on Friday, a report that could heavily influence the Federal Reserve’s policy outlook ahead of its meeting next week.
Markets were also monitoring the aftermath of a major outage at Amazon Web Services (AMZN), which temporarily disrupted platforms including Robinhood (HOOD), United Airlines (UAL), and Reddit (RDDT). AWS said operations are gradually returning to normal.
