US stocks climbed to fresh records on Monday, with the S&P 500 closing above 7,600 for the first time as traders piled into tech shares and looked for signs that geopolitical risk might be easing. The Dow Jones Industrial Average rose 0.1%, while the tech-heavy Nasdaq Composite jumped 0.5% after another strong run last week.
The move came as investors leaned into a familiar trade: buy the companies driving the market, and listen closely to Washington for anything that could shake oil or bonds. Nvidia jumped more than 6% after unveiling a new laptop chip at Computex Taipei, helping power the advance in semiconductor shares that have continued to outpace the broader S&P 500.
Donald Trump helped turn down the temperature in energy markets after posting that he had a “very productive call” with Israeli Prime Minister Benjamin Netanyahu and saying no troops would be heading into Beirut. He later wrote that talks were continuing “at a rapid pace” with the Islamic Republic of Iran, a line that pushed oil back from its early surge and gave equities another lift. West Texas Intermediate crude, which had risen more than 8% earlier in the session, pared gains to trade just above $92 a barrel, while Brent was near $95.
That political optimism, however, sat uneasily beside a report from Iran’s semi-official Tasnim news agency that said Tehran had suspended talks with the US over Israel’s actions in Lebanon and Gaza. Trump’s comments suggested negotiations were still alive, but the gap between the two sides left investors with more confidence than clarity. The market liked the idea of de-escalation; it did not get proof of it.
Friday’s nonfarm payrolls report is now the next test for the rally. The employment data could shape expectations for the Federal Reserve’s interest-rate path in the months ahead, and after Monday’s record close the burden is on the economy to keep pace with the market’s optimism.
