Stock market today: Wall Street climbs ahead of big week for big tech as oil falls 5%

NEW YORK (AP) — U.S. stocks hit near records Monday ahead of a big week for reports of gains from big tech stocks. Meanwhile, oil prices are reeling from their worst losses in more than a year.

The S&P 500 was 0.4% higher in afternoon trade. Major measures of the US stock market are coming to a close First lost week Last seven, but it's still close all time high is set to begin this month.

The Dow Jones Industrial Average was up 293 points, or 0.7%, as of 2:36 p.m. ET, while the Nasdaq Composite was 0.4% higher and flirting with its own July record.

Several big tech stocks helped lead the way, and the five are known as behemoths “The Magnificent Seven” Their latest profit report is scheduled for this week. These high-flying stocks have been at the forefront of Wall Street for years and have grown so large that their movements can single-handedly swing the S&P 500.

The market is off to a strong start. More from AP's Seth Suttel

Alphabet, MetaPlatform, Microsoft, Apple and Amazon are under pressure for bigger growth over the summer due to concerns that their share prices rose too quickly compared to their profits.

Another member of the Magnificent Seven, Tesla, is having one of the best days in its history after reporting last week. Earnings were better than analysts expected.

Monday's gains for big tech helped offset drops for stocks in the oil-and-gas industry, which were hurt by plunging oil prices. Exxon Mobil's 0.6% drop and ConocoPhillips' 1.5% slide were two of the S&P 500's heaviest weights.

A barrel of benchmark US crude fell 6.1% and Brent crude, the international standard, fell 5.9%. This was the first business for them Israel attacked Iranian military targets on Saturday. In retaliation for an earlier barrage of ballistic missiles. Israel's attack was more restrained than some investors had feared, and it raised hopes that a worse scenario could be averted.

Beyond the violence that is taking a toll on humanity, concern in financial markets is that an escalating war in the Middle East could cut off the flow of crude from Iran, a major oil producer. Such concerns sent Brent crude prices up to around $81 a barrel in early October, despite signs that there was plenty of oil available for the global economy. It dropped below $72.

Financial markets are also dealing with the volatility that usually surrounds US presidential elections, with Election Day fast approaching on two Tuesdays. Markets have historically moved on headlines within an election, only No matter which team wins, it's cool afterwards.

Trends affect both stock and bond markets. In bond markets, Treasury yields were ticking higher to offset further gains on their sharp rise for the month so far.

The yield on the 10-year Treasury rose to 4.29% from 4.24% late Friday. This is well above the 3.70% level where it was near the beginning of October.

The yield increased in report after report The US economy remains Stronger than expected. That's good news for Wall Street, as it bolsters hopes for the economy run away from Worst inflation in generations Without being painful recession Many were concerned that it was inevitable.

But that's forcing traders to scale back forecasts of how deeply the Federal Reserve will cut interest rates, now that it's focused on keeping the economy humming along as it lowers inflation. Treasury yields have also pulled back some of their earlier declines, with the Fed easing bets on how far it will eventually cut rates.

That means the US jobs report could be the market's main event on Friday's schedule, even bigger than the big tech earnings report. Investors want to see more evidence of tight hiring to keep alive hopes of a perfect-landing for the economy.

Such data replaced inflation reports, which were most important to Wall Street each month but appeared to have slowed as inflation moved toward the Fed's 2% target.

Yields also rose as investors saw former President Donald Trump's re-election prospects improve. Economists say a A Trump win could help push inflation higher in the long runAnd rising inflation could pressure the Fed to raise interest rates.

Trump Media & Technology Group, the company that tends to be more bullish on Trump's re-election odds than its own profit prospects, jumped 18.9% to $46.27 on Monday. The parent company of Trump's Truth social platform has been rallying since hitting roughly below $12 in late September, though it still reached March below its perch above $60.

Robinhood Markets rose 3.3% after it said it will begin allowing some of its clients to trade contracts based on whether Trump or Vice President Kamala Harris will win the 2024 election.

Delta Air Lines was another winner and later rose 3.1% Suing CrowdStrikeClaims that the cybersecurity company cut corners and caused a global technology outage that canceled thousands of flights in July.

In stock markets overseas, Japan's Nikkei 225 rose 1.8% as the Japanese yen dipped later. Prime Minister of Japan Shigeru Ishiba The ruling coalition Majority lost A crucial parliamentary election in the 465-seat lower house on Sunday.

Stock indexes were higher in most of Asia and the rest of Europe.