Wall Street ended sharply higher on Monday, led by big gains in Nvidia, Palantir and other heavyweight AI-related companies following progress in Washington to end a record government shutdown.
Market Snapshot
The S&P 500 climbed 1.54% to end the session at 6,832.43 points. The Nasdaq gained 2.27% to 23,527.17 points, its biggest one-day percentage gain since May 27. The Dow Jones Industrial Average rose 0.81% to 47,368.63 points. Navitas Semiconductor Corp up 22%; Opendoor Technologies Inc up 21%; XPeng Inc. up 16%; SanDisk Corp. up 12%.
Market Movers
Metsera Inc. dropped 15% to $70.87 after Pfizer agreed to buy the weight-loss drug start-up for up to $86.25 a share. The deal bested Danish drugmaker Novo Nordisk's bid for Metsera, which has a pipeline of weight-loss medicines. Pfizer fell 0.2%, and Novo Nordisk's American depositary receipts rose 0.6%.
Nvidia jumped 5.8% on optimism over the government shutdown soon ending.The artificial-intelligence chip maker closed last week down 7%.
Palantir Technologies, which sells AI software to manage and analyze large amounts of data, rose over 8.8%. It dropped 11% last week.
Tesla gained 3.7%. The stock declined 3.7% on Friday, the day after shareholders approved a pay package for CEO Elon Musk that could be worth more than $1 trillion if performance incentives are met.
Boeing rose 0.1%. The Federal Aviation Administration ordered all MD-11 planes temporarily grounded after a United Parcel Service cargo jet crashed last week in Louisville, Ky., killing at least 14 people. UPS was down 3%. FedEx, which also has the planes, was down 3%, The MD-11 is a three-engine, twin-aisle jet built by McDonnell Douglas, which merged with Boeing in 1997. Production ceased in 2000.
MP Materials Corp. climbed 9.5% to $64.84 after Deutsche Bank upgraded shares of the rare-earth miner to Buy from Hold with a price target of $71, up from $68.
Eli Lilly rose 4.6% to $966.64, heading for its highest close on record, according to Dow Jones Market Data. Shares were upgraded to Outperform from Market Perform at Leerink Partners with a $1,104 price target, up from $886. Lilly makes the popular weight-loss drugs Mounjaro and Zepbound.
Viasat gained 3.3%. The satellite services company reported fiscal second-quarter earnings on Friday. Its quarterly net loss shrank to $61 million from $138 million last year, while revenue grew 2.2% to $1.1 billion. Shares were upgraded to Buy from Hold at Raymond James on Monday.
Rumble Inc. rose 11%. The company is acquiring German AI infrastructure company Northern Data in a deal valued at up to $970 million. Both companies are backed by Tether, the stablecoin issuer.
Monday.com Ltd. declined 12% after the project-management software company posted third-quarter earnings and revenue that beat Wall Street estimates. It issued fourth-quarter revenue guidance that was below expectations.
Tyson gained 2.3%. The largest U.S. meat supplier posted better-than-expected earnings in the fiscal fourth quarter, though revenue missed analysts' forecasts. One highlight was strength in Tyson's chicken business, which bucked a trend of falling volumes across other categories such as pork and beef.
Market News
Tesla Chair Says the Company Could Be on the Cusp of the Largest Value-Creation Event in History
Tesla Motors Chairperson Robyn Denholm issued a letter of gratitude for the overwhelming support the board received at the company's annual meeting last week.
Denholm said the resounding approval of Proposals One (election of directors), Three (employee stock awards), and Four (Elon Musk's compensation package) sends an unmistakable message that shareholders support the vision embodied by Master Plan Part IV and want the board to keep steering Tesla toward the extraordinary future it expects.
CoreWeave Flags Hit from Data Center Delay, Shares Fall
Nvidia-backed CoreWeave, Inc. trimmed annual revenue forecast on Monday, hurt by a delay at a third-party data center partner, taking the shine off a strong September quarter driven by burgeoning demand for AI cloud services.
Its shares fell more than 6% in extended trading, after Chief Financial Officer Nitin Agrawal forecast 2025 revenue between $5.05 billion and $5.15 billion.
Warren Buffett Converts Berkshire Hathaway's 1.8K A Shares into 2.7M B Shares
Berkshire Hathaway's Warren Buffett converted 1.8K A shares (BRK.A) into 2.7M B shares (BRK.B) for distribution to four family foundations.
The investing firm turned in strong Q3 operating earnings growth, driven by robust insurance underwriting; manufacturing; utilities and energy, and other earnings.
The company is nearing the end of Warren Buffett's tenure as CEO.
