The Dow Jones ended with gains of 370 points, while the S&P 500 surged 1.5% to mark its best single-day gain in over a month. The Nasdaq Composite emerged as the outperforming, ending the session 2.2% higher and at a record closing high as well.
What Triggered A Rally On The Nasdaq?
Meta Platforms spurred a rally among chipmakers on Monday, thereby contributing to the gains on the Nasdaq as well. Early signs of success for the company’s new AI agent sparked a wave of enthusiasm regarding demand for the chips needed to power such agents.
Muse AI Agent, powered by Meta, reached the top spot among Apple App Store’s free applications after its launch earlier this month. Muse AI is designed to carry out tasks such as online shopping, buying movie tickets and schedule appointments. The news led to Meta shares ending 11.5% higher on Monday, their best single-day gain since April 2025.
As a result, shares of Intel and AMD gained 12% and 10% respectively on Monday, with AMD becoming the latest chip company after Nvidia, Micron, Broadcom, and TSMC to command a market capitalization of $1 trillion. Meta is AMD’s second-biggest customer, contributing to 5.5% of the overall topline.
According to Wedbush Securities, Agentic AI relies on compute driven applications and there are only two compute vendors in the market – Intel and AMD.
How Did Other Asset Classes Perform On Monday?
Crude oil prices continued to fall with Brent closing exactly at $100 a barrel overnight as US President Donald Trump continued to maintain that he is open to meeting Iranian President Pezeshkian later this week on the sidelines of the United Nations General Assembly summit. However, he also threatened to eliminate Iran’s leadership, if they do not strike a deal.
Bitcoin prices crossed the $85,000 mark overnight after one of its largest holders, Strategy Inc. made its first purchase of the crypto token in months. The Strategy stock itself ended with gains of 10%.
The US Dollar index continues to remain stable above the 100 mark, while the 10-year bond yield has cooled off to the lower end of the 4.95% to the 5.05% range it has been in over the last few weeks.
All eyes later this evening will be on US President Donald Trump’s address at the UNGA, which is scheduled for 7:25 PM IST.