MARKET SNAPSHOT
Strength in the tech sector propelled the S&P 500 and Nasdaq higher, while worries about continued fighting in the Middle East weighed down the broader market. Demand for bonds declined and Treasury yields rose as markets grappled with high interest rate expectations in the U.S. Oil futures rose after Israel and Iran exchanged strikes over the weekend before saying they will hold off further attacks. Gold prices edged lower as the dollar weakened slightly.
MARKET WRAPS
EQUITIES
Tech stocks made up some ground Monday, even after a flare-up in tensions between Iran and Israel sent oil prices higher.
The Nasdaq composite moderated early gains to close up 0.9%. The S&P 500 rose 0.3%, while the Dow industrials slipped 0.2%. Some of the hardest hit stocks last week-namely, AI shares-were among those rising the most. The PHLX Semiconductor Index finished up 5.6%.
The moves mark a turnaround from Friday, when a hotter-than-expected May jobs report and a pullback in the AI trade sent the Nasdaq tumbling more than 4%. That selloff initially looked set to continue when futures started trading Sunday, following a weekend of renewed fighting between Iran and Israel.
Then stock futures climbed, including after Iran said it had ended its strikes against Israel. An initial surge in oil prices eased, while Treasury yields also pared earlier gains.
Later this week, the release of May inflation data Wednesday should offer traders clues on whether the Fed will raise rates this year. Also on the docket: SpaceX's long-awaited IPO.
Earlier Monday, Asian stocks plunged following Wall Street's losses on Friday. Chip-related stocks led the declines after the recent rally.
South Korea's Kospi ended 8.3% lower, marking its largest daily percentage loss in three months. The country's two memory makers, Samsung Electronics and SK Hynix, which account for about half of the index's total market capitalization, plunged 10% and 7.7%, respectively.
Japan's Nikkei Average sank almost 3.9%, dragged lower by weakness in electronics stocks.
China's Shanghai Composite Index lost 1.7%. The Shenzhen Composite Index fell 3.1% and the tech-focused ChiNext Price Index slid 3.7%. Hong Kong's Hang Seng Index gave back 1.2%.
New Zealand's S&P/NZX 50 Index fell 0.9%.
Markets in Australia were closed for the King's Birthday.
COMMODITIES
Oil futures rose for the first time in three sessions after Israel and Iran exchanged strikes over the weekend before saying they will hold off further attacks.
The first direct strikes between Israel and Iran since the April ceasefire raised concerns of wider escalation, although "cooler heads appear to be prevailing to start the week," Arlan Suderman of StoneX said.
Houthi threats against Israeli shipping in the Red Sea added risk, he said. "With global commodity trade already facing notable logistical snares due to the ongoing closure of the Strait of Hormuz, a resumption in Houthi attacks in the Red Sea would add yet another layer of complexity."
WTI settled up 0.8% at $91.30 a barrel and Brent rose 1.2% to $94.25.
Front month Comex gold for June delivery slipped 0.03% to settle at $4335.90 per troy ounce.
TODAY'S TOP HEADLINES
Iran and Israel Halt Exchanges of Fire
TEL AVIV-Iran and Israel ended multiple exchanges of fire Monday but left open the possibility of resuming attacks that pressured President Trump's fragile Middle East ceasefire.
Trump had intervened in the violent, hourslong back-and-forth, saying Israel and Iran must immediately stop "shooting" and declaring that both countries wanted an immediate ceasefire.
Shortly afterward, Iran's military headquarters said it was ending operations by its armed forces against Israel, having "delivered a painful response" to that country.
ECB Expected to Be First Among Peers to Raise Key Rate in Response to Conflict
The European Central Bank is set to raise its key interest rate for the first time in almost three years Thursday, becoming the first of its peers to tighten policy in response to a jump in energy prices caused by the conflict in the Middle East.
However, economists think it unlikely that the increase will be the first of many, given the weak state of the eurozone economy.
Investors expect to see three moves at most, which would take the key rate to 2.75% from 2% now, and will be looking to ECB President Christine Lagarde for some guidance when she speaks in a news conference. She is likely to stress the high degree of uncertainty about the outlook for inflation for as long as the conflict continues, and make few commitments.
Saudi Arabia Cuts July Crude Prices for Asia As Demand Slows
Top oil exporter Saudi Arabia sharply cut the price of its main oil grade for Asia as demand slows, even as the near-closure of the Strait of Hormuz continues to choke off supplies out of the Persian Gulf and tighten global markets.
State oil producer Saudi Aramco on Monday set the official selling price for July loadings of its Arab Light crude to Asia-the largest destination for Middle Eastern crude-at $9.50 above the Oman/Dubai regional benchmarks, down from a premium of $15.50 a barrel in June.
Official selling prices are monthly rates set by national oil companies for term-contract customers and are typically benchmarked against regional crude markers. While crude futures and physical oil prices have risen sharply since the Iran war began in late February, Aramco's selling prices reflect demand from refiners and competition from rival exporters, making them a gauge of market conditions in key consuming regions.
Apple Unveiled the New Siri AI. Here Are the Key Takeaways.
Apple showed off a new AI version of its Siri chatbot on Monday, technology developed with Google that the iPhone maker hopes will help power a comeback in artificial intelligence.
Here are the biggest takeaways from the keynote:
Amazon Enters Agreement With Corning for Optical Fiber for Data Centers
Amazon.com said it entered a multibillion-dollar agreement with Corning to get optical fiber, cable and connectivity solutions to support its growing data center footprint.
The investment, disclosed Monday, will allow Corning to expand production and create 1,000 new jobs at its manufacturing facilities in North Carolina, the companies said Monday.
Shares of Corning gained 5.7% to $187.70 Monday. The stock has more than doubled this year.
Nvidia Strikes Deals With Korean Tech Titans for AI Infrastructure Buildout
Nvidia is teaming up with leading South Korean technology companies to build large-scale artificial-intelligence infrastructure in Asia, seeking to solidify its data-center footprint and expand its AI ecosystem into robotics and other industrial sectors.
The string of deals comes as Nvidia Chief Executive Jensen Huang makes his second visit to South Korea-home to global manufacturers of memory chips, autos, ships and robots-in less than a year, following a trip to Taiwan, another chip-manufacturing hub.
Mobile carrier SK Telecom said Monday that it and Nvidia are advancing plans for their first gigawatt-scale AI cloud services in South Korea, with the aim to expand into other parts of Asia.
Expected Major Events for Tuesday
01:00/PHI: Apr Labour Force Survey
01:00/AUS: Jun Westpac - Melbourne Institute Consumer Sentiment Survey
01:30/AUS: May NAB Business Survey
06:00/JPN: May Preliminary Machine Tool Orders
07:00/MAL: May International Reserves, end of month
08:00/TAI: May Merchandise trade
08:30/HK: 1Q Quarterly Statistics on Vessels, Port Cargo & Containers
09:59/CHN: May Trade
09:59/CHN: May Commodities Trade Data
09:59/CHN: May Energy Trade Data
23:50/JPN: May Corporate Goods Price Index
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(END) Dow Jones Newswires
June 08, 2026 16:53 ET (20:53 GMT)
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