US stocks opened mixed on Monday as investors weighed a rebound in semiconductor shares against high oil prices, firmer inflation data, and pressure from global bond markets. The S&P 500 rose 0.09% at the open to 7,415.07, while the NASDAQ Composite gained 0.25% to 26,289.49. However, the Dow Jones Industrial Average slipped 0.09% to 49,481.04.
Semiconductor stocks helped support the NASDAQ after tech shares came under pressure late last week. The recovery followed a sharp move in bond yields that weighed on growth stocks, especially companies linked to artificial intelligence and advanced chips.
The NASDAQ-100 dropped 1.5% on Friday, marking its weakest session since March 27. That decline came after the S&P 500 and NASDAQ reached new highs earlier in the week. However, Monday’s early rebound showed some buyers returning to large technology and chip names.
NVIDIA also drew attention ahead of its earnings report due Wednesday. The company’s shares have risen from a March low, while the Philadelphia SE Semiconductor Index has climbed strongly on demand for AI-related chips. Investors now want fresh details on data center spending, chip demand, and future guidance.
Treasury yields pulled back from recent highs, giving stocks some relief. The 10-year Treasury yield eased after earlier pressure from rising oil prices and stronger inflation data. Reuters reported that the 10-year yield had touched 4.631%, its highest level since February 2025, before moving lower on Monday.
Still, traders remained cautious because the bond market had driven much of Friday’s selloff. Higher yields often reduce the appeal of growth stocks because they raise borrowing costs and lower the value investors place on future earnings.
Ed Yardeni, president of Yardeni Research, said, “The macroeconomic backdrop no longer supports an easing bias, let alone a rate cut.” The comment signaled doubts about near-term Federal Reserve easing after stronger inflation readings last week.
Oil prices stayed central to Monday’s trading as investors tracked the conflict between the US and Iran. Brent crude and West Texas Intermediate futures eased during the session, though both remained high by recent standards.
Markets continued to watch diplomatic developments after peace talks stalled. President Donald Trump said Iran had to ‘get moving’ or there ‘won’t be anything left,’ adding to concerns about a longer conflict and possible supply disruptions.
Lale Akoner, global market strategist at eToro, said, “The concern for investors is that higher yields do not stay confined to bond markets.” This led to doubts over whether stocks could keep rising if oil prices continue feeding inflation fears.
Ford Energy, a Ford Motor Company subsidiary, announced an agreement with EDF Power Solutions North America to develop up to 20 gigawatt hours of battery energy storage systems. Deliveries under the agreement are expected to begin in 2028.
Meanwhile, Dominion Energy shares rose after reports said NextEra Energy had discussed a mostly stock deal for the utility. In addition, UnitedHealth Group fell after Berkshire Hathaway said it sold many smaller holdings, including the health insurer.
The market now turns to NVIDIA earnings, Walmart results, oil prices, Treasury yields, and Federal Reserve minutes due Wednesday for the rest of the week.
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