Key Takeaways
- Major US equity indices, including the S&P 500, Nasdaq, and Dow Jones, surged, with the S&P 500 closing up 1.10% at 6,737.31, driven by strong corporate earnings and hopes for easing US-China trade tensions.
- The US and Australia signed an $8.5 billion critical minerals deal aimed at reducing China's dominance in rare earths.
- Amazon's (AMZN) cloud services unit, AWS (AMZN), experienced a widespread outage affecting thousands of websites, though services are reportedly scaling back to pre-event levels.
- Spot gold extended its gains, rising nearly 3% to $4,374.97/Oz, as Treasury yields fell.
- Triller Group (ILLR) received a Nasdaq (NDAQ) delisting notice for non-compliance with Rule 5250(C)(1) and plans to seek a hearing.
US equities closed significantly higher on Monday, with the S&P 500 advancing 73.30 points or 1.10% to 6,737.31. The Nasdaq (NDAQ) saw a robust gain of 312.51 points or 1.38%, closing at 22,992.49, while the Dow Jones (DJIA) climbed 508.84 points or 1.10% to 46,699.45. This broad market rally was fueled by optimism surrounding strong corporate earnings, with 85% of S&P 500 companies beating profit estimates, and expectations of de-escalating US-China trade tensions.
In commodity markets, spot gold extended its upward trajectory, jumping nearly 3% to reach $4,374.97/Oz. This surge occurred as Treasury yields fell, indicating a shift towards safer assets amidst broader market movements. Investors are now keenly awaiting the release of September CPI data, with core inflation anticipated to be around 0.3%.
Geopolitical developments also made headlines, as the US and Australia formalized an $8.5 billion critical minerals deal. This strategic agreement is designed to counter China's dominance in the rare earths market, securing vital resources for both nations. Meanwhile, small businesses in the US are continuing to challenge President Trump’s global tariffs, urging the US Supreme Court to affirm lower court rulings that deem these import levies an "illegal tax" on American companies.
In the tech sector, Amazon's (AMZN) cloud computing division, AWS (AMZN), grappled with a widespread outage that impacted thousands of websites. While the incident caused significant disruption, AWS has since reported scaling up its SQS polling via Lambda event source mappings back to pre-event levels, suggesting a recovery effort is underway.
Elsewhere in corporate news, Triller Group (ILLR) received a delisting notice from Nasdaq (NDAQ) due to non-compliance with Rule 5250(C)(1). The company has indicated it will seek a hearing to address the issue. In the aerospace industry, Lockheed Martin is reportedly developing a moon lander, positioning itself as an alternative to SpaceX's Starship for NASA (NASA) missions.
Further economic data revealed that US steel capacity utilization rose slightly to 76.1% from 76% in the week ending October 18, according to the American Iron and Steel Institute (AISI). However, Fitch Ratings issued a warning, stating that rapid growth in US non-bank loans could elevate the risk of wider bank losses. On the mergers and acquisitions front, Yageo ((/stock/2327)) successfully completed its bid for Shibaura ((/stock/6590)), concluding a lengthy takeover battle. Lastly, the UK announced an allocation of $134 million to prepare for troop deployment in Ukraine if a ceasefire is reached, with forces designated for training and air-sea policing rather than frontline combat.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.