Semiconductor stocks rally as oil prices reverse sharply lower.
U.S. stocks staged a sharp comeback Monday after President Donald Trump suggested that the conflict with Iran could be nearing its end. The comments helped calm investor fears about a prolonged disruption to global energy supply, triggering a rebound in equities after steep losses earlier in the day.
The S&P 500 climbed 0.83%, while the Dow Jones Industrial Average rose 239 points, recovering from an earlier decline of nearly 900 points. The Nasdaq Composite jumped 1.38%, led by strong gains in semiconductor stocks.
Trump told a CBS News reporter that the war was “pretty much complete,” adding that the U.S. had already gained a decisive advantage in the conflict. The remarks eased market concerns that the war could escalate into a longer and more disruptive geopolitical event.
The shift in sentiment also pushed oil prices sharply lower from earlier highs. West Texas Intermediate crude briefly surged above $119 per barrel overnight, its highest level since 2022, before falling back toward the low $80 range during the trading session.
At the same time, semiconductor stocks led the market rebound. Advanced Micro Devices (AMD) and Micron Technology (MU) surged more than 5%, Broadcom (AVGO) rose over 4%, while Nvidia (NVDA) gained more than 2%.
The earlier spike in oil prices had raised concerns that energy costs could slow economic growth. However, the pullback in crude helped restore confidence that the disruption to global energy supply might be temporary.
📊 Market Wrap
🧠 Analyst Notes
💬 Market Highlights
HPE Rises After Q2 Revenue Forecast Beats Expectations
Shares of Hewlett Packard Enterprise (HPE) rose about 3% after the company reported stronger-than-expected fiscal Q1 2026 results, with adjusted EPS of $0.65 compared to the $0.59 consensus estimate and revenue of $9.3B, up 18% year over year. Profitability also exceeded expectations with an adjusted gross margin of 36.6% and operating margin of 12.7%. Growth was primarily driven by a 151% surge in networking revenue following the acquisition of Juniper Networks. Looking ahead, HPE guided Q2 revenue between $9.6B and $10B and EPS between $0.51 and $0.55, while raising its full-year fiscal 2026 adjusted EPS outlook to $2.30–$2.50 and projecting total revenue growth of 17%–22%.
Barclays Cuts Oracle Price Target Ahead of Earnings
Barclays lowered its price target for Oracle (ORCL) by 26% to $230 from $310 ahead of the company’s fiscal Q3 2026 earnings release, while maintaining an Overweight rating on the stock. Analysts expect AI-related revenue to come in slightly above consensus as more AI capacity became available during the quarter, though margins and EPS may face short-term pressure due to heavy upfront investments and lease expenses tied to large-scale infrastructure expansion. Despite near-term margin headwinds, Barclays believes the current negative sentiment around Oracle could represent a long-term opportunity as the company continues transforming into a major AI and cloud infrastructure platform with improving fundamentals.
Amazon Pharmacy Expands GLP-1 Offerings with Zepbound KwikPen
Amazon (AMZN) expanded its Amazon Pharmacy platform by adding Eli Lilly (LLY)’s Zepbound KwikPen weight loss medication, which is now available for same-day delivery across nearly 3,000 locations in the U.S. With a valid prescription, customers can purchase the 2.5 mg starter dose starting at about $299 per month and receive the injectable medication delivered directly to their homes. In addition to Zepbound, Amazon Pharmacy also provides access to other FDA-approved GLP-1 treatments including Eli Lilly’s Mounjaro and Novo Nordisk (NVO) drugs such as Wegovy and Ozempic. The expansion aims to simplify patient access to prescribed treatments through direct ordering and reliable home delivery, although Amazon shares briefly moved higher before giving back gains amid broader market weakness.
📅 Earnings Watch
With geopolitical tensions easing and semiconductor stocks driving gains, investors will be watching whether stability in energy markets can help sustain momentum in technology and broader equities.
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