Get the main
- The S&P 500 rose 0.1% to close at a record high on Monday, July 8, 2024, kicking off a trading week that will feature testimony from the Federal Reserve chair, key inflation data and bank earnings.
- Intel shares rose after analysts highlighted its potential to profit from artificial intelligence in the second half.
- Shares in Paramount Global fell after the entertainment giant agreed to merge with Skydance Media, ending months of negotiations.
Major US stock indexes hit record highs to kick off a new trading week that will feature testimony to Congress from Federal Reserve Chairman Jerome Powell, the release of the latest Consumer Price Index (CPI) report ) and quarterly reports from banking giants to kick off earnings season.
The S&P 500 rose 0.1% on Monday, extending a streak of all-time closing highs dating back to early last week. The Nasdaq advanced 0.2%, adding to its streak of record closes. The Dow ended the session slightly lower, down 0.1%.
Shares of Corning ( GLW ) rose 12%, Monday’s top performer among S&P 500 stocks, after the specialty glass maker raised its guidance for the current quarter. The company attributed its improved outlook to high levels of demand for its optical connectivity products, which are used in generative artificial intelligence (AI) applications.
Shares of Super Micro Computer ( SMCI ) jumped 6.2% on Monday, while some AI-related stocks gained. The server and storage equipment provider has drawn intense attention from investors for its potential to take advantage of AI opportunities, with its share price more than tripling since the start of the year. Supermicro maintains a leading position in the AI server market, with its modular design capabilities offering customers flexibility in customizing and scaling their systems.
Shares of Intel ( INTC ) also rose 6.2% after Melius Research highlighted the semiconductor giant’s potential to outplay peers in the technology sector. Analysts suggested that Intel and other “AI laggards” that underperformed in the first half of the year — including Advanced Micro Devices ( AMD ), Apple ( AAPL ) and International Business Machines ( IBM ) — could be poised for strength in the second half. of 2024. Intel and AMD could benefit from the inclusion of their chips in Microsoft ( MSFT ) devices, especially in the new generation of AI-enabled PCs. AMD shares rose 4% on Monday.
Shares of Paramount Global ( PARA ) fell 5.3%, marking the heaviest losses of any S&P 500 component, after the entertainment giant agreed to a merger deal with production company Skydance Media, ending months of volatile negotiations substantial in Paramount stock. . Skydance founder David Ellison will become CEO of the combined company.
Shares of Etsy ( ETSY ) fell 5.3% on Monday. The online craft marketplace recently announced that it would be restricting the sale of certain products it deems unsuitable for its customer base. The e-commerce company also raised concerns this spring when first-quarter revenue fell short of expectations and warned that slower consumer discretionary spending could dampen growth.
Shares of Chipotle Mexican Grill ( CMG ) fell 5.2%. Chipotle’s stock price has seen volatility since the company completed its 50-for-1 stock split late last month. The burrito chain has also received criticism from customers about portion sizes, with a recent study by Wells Fargo analysts suggesting size discrepancies.