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Wall Street Notches Third Straight Record as AI Titans Drive Global Rally

Attention now turns to a likely Fed rate cut expected on Wednesday.

Overview

  • The Dow, S&P 500 and Nasdaq closed at fresh highs for a third session, extending a tech-led upswing powered by megacaps.
  • Nvidia jumped about 5% after a $1 billion Nokia stake and plans to build seven supercomputers for the U.S. Energy Department, leaving the chipmaker near a $5 trillion valuation.
  • Microsoft gained roughly 2% after OpenAI completed a restructuring that gives the software giant a 27% stake, with results from Microsoft, Alphabet and Meta due Wednesday followed by Apple and Amazon on Thursday.
  • Futures pricing points to a 25-basis-point Fed cut at the end of the two-day meeting, alongside softer dollar moves, weaker gold and lower crude prices.
  • Global breadth showed pockets of strength: Spain’s Ibex hit record levels and sits up about 38% year to date on banking gains, Mexico’s IPC rose on earnings from Televisa, Cemex and Carso, and sentiment also reflected hopes ahead of a TrumpXi meeting this week.