- The S&P 500 index and Nasdaq closed at record highs, led by a 2% gain in Nvidia.
- UBS raised its target price for Nvidia to $150, citing strong demand for the company’s chips and a reasonable valuation.
- Investors are awaiting the release of the June CPI inflation report on Thursday and comments from Fed Chairman Jerome Powell.
The S&P 500 index and Nasdaq closed at record highs on Monday after Nvidia shares rose about 2%.
The AI ​​darling’s stock rose after UBS raised its price target to $150 per share in a statement on Monday. The bank said a recent supply chain survey showed strong demand for Nvidia’s next-generation Blackwell chips.
Investors will be watching Federal Reserve Chairman Jerome Powell’s testimony before Congress on Tuesday and Wednesday, a key inflation report and the start of second-quarter earnings season later this week to see whether the stock rally will continue.
Perhaps the most important event this week is the June CPI report, due out on Thursday, which economists estimate will show a 3.1% increase from a year ago.
The inflation report, along with the June producer price index due to be released on Friday, will help inform investors and the Fed on when interest rate cuts might come.
Wharton professor Jeremy Siegel believes the Federal Reserve will begin cutting interest rates at its September FOMC meeting.
As of the close of trading at 4pm on Monday, U.S. stock indexes were as follows:
Here’s something else that happened today:
Commodities, Bonds and Cryptocurrencies:
- West Texas Intermediate crude oil fell 1.14% to $82.21 a barrel, while the international benchmark Brent crude fell 1.03% to $85.65 a barrel.
- Gold fell 1.36% to $2,365.20 per ounce.
- The yield on the 10-year Treasury note fell 1 basis point to 4.28%.
- Bitcoin rose 0.95% to $56,400.
