US close: Indices hit new records, as tech rally offsets Middle East uncertainty

(Sharecast News) - The ongoing AI trade pushed Wall Street's stock markets to new record highs on Monday, though gains were modest as oil prices rose amid heightened uncertainty regarding US-Iran relations.

The Dow rose just 0.1%, while the S&P 500 gained 0.3% and the Nasdaq was up 0.4%. All three indices set new all-time closing highs.

"Once more the selling is mainly occurring outside of the US. The tech sector's massive earnings, both actual and prospective, continue to provide insulation for the US equity markets, but Europe and Asia have felt renewed pain on this afternoon's headlines," said Chris Beauchamp, chief market analyst at IG.

"This makes sense given the mountains of cash created by the tech sector, but it is foolish to assume that Wall Street as a whole can remain immune in the event of a much bigger selloff."

Oil prices jumped after a report that Iran has suspended peace talks with the US until Israel ends its operations in Lebanon. According to Iranian news agency Tasmin, the suspension would remain in place until "the positions of Iran and its allied proxy forces are taken into account", adding that Iran will move to fully close the Strait of Hormuz.

Oil prices were already trading higher after Iran and the US continued to trade blows over the weekend, dampening hopes for an imminent peace deal.

However, oil's gains were pared by the close however after President Donald Trump claimed to have had "a very productive call" with Benjamin Netanyahu, and that "all shooting will stop" between Israel and Hezbollah.

Brent crude finished at $94.98 a barrel, up 4.2% from the previous day but well below the $97.79 intraday high, while WTI rose 5.5% to $92.16.

On the macro front, S&P Global's US manufacturing purchasing managers index rose to 55.1 in May, up from 54.5 in April but below a preliminary estimate of 55.3, while the Institute for Supply Manufacturing's PMI increased to 54 in May, up from 52.7 in April.

Meanwhile, US construction spending increased by 0.4% month-on-month to $2.17trn in April, according to the Census Bureau, ahead of March's $2.16trn figure and April 2025's $2.15trn print.

Nvidia, chip stocks rally

Semiconductor titan Nvidia jumped 5% after unveiling a new superchip jointly developed with Microsoft that promises to "revinent Windows PCs for the era of personal AI agents".

Announced at the COMPUTEX conference in Taipei, the RTX Spark chip is able to equip personal computers with AI capabilities locally, rather than rely on cloud computing, putting the product in direct competition with those of tech giants Apple and Intel, with both stocks falling sharply on the news.

Others in the chip sectors also performed well, including Micron Technology, TSMC and Broadcom. SanDisk, meanwhile, continued its tear, having now surged over 600% since the start of the year alone.

Ride-hailing group Uber was higher after announcing the launch of a robotaxi programme in Munich, partnering with Israeli AI firm Autobrains to scale a fully autonomous fleet of taxis across the city. The Germany metropolis, which will serve as the first deployment city for the robotaxi programme, provides the "right launch environment for commercially scalable autonomous mobility", given its dense city streets, high-speed road networks and regulatory framework, Uber announced.

Dow Jones - Risers

Salesforce.Com Inc. (CRM) $209.60 9.68%

International Business Machines Corporation (CDI) (IBM) $320.42 7.60%

Microsoft Corp. (MSFT) $460.52 5.00%

Dow Chemical Co. (DOW) $34.69 2.79%

Cisco Systems Inc. (CSCO) $121.33 2.32%

Goldman Sachs Group Inc. (GS) $1,048.58 2.24%

Chevron Corp. (CVX) $185.83 1.85%

Walt Disney Co. (DIS) $102.85 1.00%

Walmart Inc. (WMT) $0.00 0.00%

Walgreens Boots Alliance, Inc. (WBA) $0.00 0.00%

Dow Jones - Fallers

Intel Corp. (INTC) $109.33 -12.60%

Merck & Co. Inc. (MRK) $115.17 -2.99%

Boeing Co. (BA) $224.30 -2.96%

Apple Inc. (AAPL) $306.31 -2.57%

Procter & Gamble Co. (PG) $140.28 -2.28%

Home Depot Inc. (HD) $310.69 -2.03%

Amgen Inc. (AMGN) $329.13 -1.91%

3M Co. (MMM) $150.93 -1.44%

Caterpillar Inc. (CAT) $865.36 -1.20%

McDonald's Corp. (MCD) $276.11 -1.11%

S&P 500 - Risers

MGM Resorts International (MGM) $50.69 16.08%

Autodesk Inc. (ADSK) $248.16 13.58%

Gen Digital Inc. (GEN) $27.76 12.66%

Intuit Inc. (INTU) $353.76 12.02%

Fortinet Inc. (FTNT) $147.14 11.68%

Adobe Systems Inc. (ADBE) $274.03 11.43%

Gartner Inc. (IT) $179.59 10.72%

Cadence Design Systems Inc. (CDNS) $414.16 10.48%

TripAdvisor Inc. (TRIP) $12.10 10.45%

Oracle Corp. (ORCL) $248.15 9.91%

S&P 500 - Fallers

FedEx Corp. (FDX) $338.49 -17.79%

Intel Corp. (INTC) $109.33 -12.60%

QUALCOMM Inc. (QCOM) $228.99 -10.32%

Skyworks Solutions Inc. (SWKS) $75.49 -8.71%

Coterra Energy Inc. (CTRA) $32.56 -8.62%

Bath & Body Works, Inc. (BBWI) $18.63 -6.94%

Texas Instruments Inc (TXN) $293.20 -6.90%

CME Group Inc. (CME) $257.76 -6.77%

Qorvo, Inc. (QRVO) $99.97 -6.69%

Under Armour, Inc. (UA) $5.36 -6.46%

Nasdaq 100 - Risers

Workday, Inc. (WDAY) $157.23 18.03%

Autodesk Inc. (ADSK) $248.16 13.58%

Gen Digital Inc. (GEN) $27.76 12.66%

Intuit Inc. (INTU) $353.76 12.02%

Adobe Systems Inc. (ADBE) $274.03 11.43%

Cadence Design Systems Inc. (CDNS) $414.16 10.48%

Micron Technology Inc. (MU) $1,035.50 8.42%

Verisk Analytics Inc. (VRSK) $183.97 7.60%

Paychex Inc. (PAYX) $102.44 7.33%

Automatic Data Processing Inc. (ADP) $233.74 6.93%

Nasdaq 100 - Fallers

Qvc Group Inc Series A (QVCGA) $0.34 -13.49%

Intel Corp. (INTC) $109.33 -12.60%

QUALCOMM Inc. (QCOM) $228.99 -10.32%

Skyworks Solutions Inc. (SWKS) $75.49 -8.71%

Texas Instruments Inc (TXN) $293.20 -6.90%

Microchip Technology Inc. (MCHP) $91.52 -5.81%

Tesla Inc (TSLA) $415.88 -5.48%

Amazon.Com Inc. (AMZN) $261.26 -4.38%

Meta Platforms Inc. (META) $600.47 -4.35%

Analog Devices Inc. (ADI) $402.69 -3.63%