Stock market today: Dow, S&P 500 rise as stocks mount a comeback from deep losses

Published On Sep 9, 2024, 9:32 AM

U.S. stocks saw a rebound on Monday after a tough week, with the S&P 500 rising 1.2%, the Dow Jones adding over 450 points, and the Nasdaq up more than 1%. The rally was driven by gains in financial, industrial, and energy sectors, along with major tech players like Nvidia, Tesla, and Amazon making notable gains. Investors are now focusing on upcoming consumer and producer inflation reports, which could influence the Federal Reserve's decision on interest rate cuts scheduled for later this month. Apple also launched its new iPhone 16 and updated various products during its annual event, though its stock remained largely unchanged.

Stock Forecasts

The strong market rebound suggests that investors are regaining confidence after last week's decline, particularly with focus on inflation data that could lead to a more favorable policy environment regarding interest rates. This may lead to further increases in the S&P 500 and other major indexes as the market reacts positively to anticipated Fed actions.

Nvidia's rebound signifies a recovery from last week's losses, suggesting sustained interest in tech stocks, particularly within the AI sector as demand continuity is perceived. The overall market uplift and investor sentiment surrounding tech innovations also support this outlook.

Apple's product launches could drive consumer interest and sales, though the lack of immediate stock response indicates cautious market sentiment. However, long-term prospects remain strong with the new iPhone expected to contribute positively to revenue.

Sector recovery in financials, industrials, and energy indicates strong underlying market strength which may sustain upwards momentum in associated ETFs, aligning with overall investor confidence in economic recovery.

Given Morgan Stanley's recent downward adjustment of oil price forecasts due to concerns over demand, it may affect related stocks and sectors negatively, particularly in energy.

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