Oracle leads tech rally as markets rebound sharply.
U.S. stocks staged a strong comeback on Monday as investors reassessed the outlook for the Iran conflict following a mix of escalating tensions and renewed signals of potential negotiations. The S&P 500 rose 1.0%, the Nasdaq Composite gained 1.2%, and the Dow Jones Industrial Average climbed 0.6%, with the Nasdaq extending its winning streak to nine sessions.
Markets initially came under pressure after the U.S. moved forward with a blockade of Iranian ports following failed peace talks over the weekend. The move reignited concerns about a prolonged conflict and its impact on global energy supply and inflation expectations.
However, sentiment shifted during the session after President Donald Trump indicated that Iran was still willing to negotiate, suggesting that a deal could still be on the table. That shift helped equities recover and push higher into the close.
Oil prices reflected the uncertainty, remaining elevated but volatile. WTI crude traded near $98 per barrel, while Brent crude hovered around $99, as markets continued to price in geopolitical risk tied to the Strait of Hormuz.
Within equities, the rebound was led by technology and software names. Oracle (ORCL) surged nearly 13%, while Microsoft (MSFT) and Palantir (PLTR) also moved higher, reflecting renewed strength in AI-related stocks and a broader recovery across software.
📊 Market Wrap
🧠 Analyst Notes
💬 Market Highlights
Cybersecurity Seen as Opportunity in Volatile Markets
Wedbush expects continued market turbulence but sees the pullback as a buying opportunity for high-quality tech. The firm highlights cybersecurity names such as CrowdStrike (CRWD), Palo Alto (PANW), and Zscaler (ZS) as key beneficiaries of rising AI adoption, which is increasing demand for security infrastructure.
HPE Downgraded as Profit Focus Slows Growth
Hewlett Packard Enterprise (HPE) was downgraded as its strategy to prioritize profitability over expansion is expected to limit near-term growth. While margins may improve, its AI and cloud segments are scaling more cautiously than peers.
Goldman Sachs Beats, But Weak Spots Weigh on Stock
Goldman Sachs (GS) reported strong earnings driven by its banking and markets division, but shares declined as investors focused on weaker net interest income and rising credit provisions amid a complex macro environment.
📅 Earnings Watch
Markets remain sensitive to headlines around Iran, with investors balancing renewed hopes for a deal against ongoing risks, while earnings season begins to provide clearer signals on the strength of the economy.
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