NEW YORK (AP) 鈥� U.S. stocks are rising as gains for Big Tech make up for slides in oil-and-gas stocks after the price of crude tumbled sharply. The S&P 500 rose 0.3% Monday. The Dow Jones Industrial Average gained 0.6%, and the Nasdaq composite rose 0.3% to approach its all-time high set in July. Apple and other Big Tech stocks rose ahead of their profit reports that are scheduled to come later in the week. Oil prices tumbled more than 6% after an Israeli retaliation against Iran for earlier missile attacks proved to be more restrained than some investors had feared.
THIS IS A BREAKING NEWS UPDATE. AP鈥檚 earlier story follows below.
NEW YORK (AP) 鈥� U.S. stocks are approaching records Monday ahead of a big week for profit reports from Big Tech stocks. Oil prices, meanwhile, are tumbling toward their worst loss in more than a year.
The S&P 500 was 0.4% higher in afternoon trading. The main measure of the U.S. stock market is coming off its in the last seven, but it鈥檚 still near its set earlier this month.
The Dow Jones Industrial Average was up 293 points, or 0.7%, as of 2:36 p.m. Eastern time, while the Nasdaq composite was 0.4% higher and flirting with its own record set in July.
Several Big Tech stocks helped lead the way, and five of the behemoths known as the are on this week鈥檚 schedule to report their latest profits. These high-flying stocks have been at the forefront of Wall Street for years and have grown so big that their movements can singlehandedly shift the S&P 500.
After suffering a summertime swoon on worries that their stock prices had risen too quickly when compared with their profits, Alphabet, Meta Platforms, Microsoft, Apple and Amazon are under pressure to deliver more big growth.
Another member of the Magnificent Seven, Tesla, soared to one of the best days in its history last week after reporting a .
Monday鈥檚 gains for Big Tech helped offset drops for stocks in the oil-and-gas industry, which were hurt by the sinking price of oil. Exxon Mobil鈥檚 0.6% drop and ConocoPhillips鈥� slide of 1.5% were two of the heaviest weights on the S&P 500.
A barrel of benchmark U.S. crude fell 6.1%, and Brent crude, the international standard, slid 5.9%. It was the first trading for them since in retaliation for an earlier barrage of ballistic missiles. Israel鈥檚 attack was more restrained than some investors had feared it could be, and it raised hopes that a worst-case scenario may be avoided.
Beyond the violence that is taking a human toll, the worry in financial markets is that an escalating war in the Middle East could cut off the flow of crude from Iran, which is a major oil producer. Such worries had sent the price of Brent crude up to nearly $81 per barrel in early October, despite signals that plenty of oil is available for the global economy. It鈥檚 since fallen back below $72.
Financial markets are also dealing with the volatility that typically surrounds a U.S. presidential election, with Election Day fast approaching in two Tuesdays. Markets have historically been shaky heading into an election, only to .
The trend affects both the stock and the bond markets. In the bond market, Treasury yields were ticking higher to tack more gains onto their sharp rise for the month so far.
The yield on the 10-year Treasury rose to 4.29% from 4.24% late Friday. That's well above the roughly 3.70% level where it was near the start of October.
Yields have climbed as report after report has shown the remains . That鈥檚 good news for Wall Street, because it bolsters hopes the economy can from the without the painful that many had worried was inevitable.
But it鈥檚 also forcing traders to ratchet back forecasts for how deeply the Federal Reserve will cut interest rates, now that it鈥檚 just as focused on keeping the economy humming as getting inflation lower. With bets diminishing on how much the Fed will ultimately cut rates, Treasury yields have also been given back some of their earlier declines.
That means the U.S. jobs report on the schedule for Friday could end up being the market's main event, even bigger than the Big Tech profit reports. Investors want to see more evidence of solid hiring to keep alive the perfect-landing hopes for the economy.
Such data has supplanted inflation reports, which used to be the most important for Wall Street every month but have waned as inflation seems to be heading toward the Fed's target of 2%.
Yields have also climbed as investors have seen former President Donald Trump's chances of re-election improving. Economists say a , and worsening inflation could push the Fed to hike interest rates.
Trump Media & Technology Group, the company that tends to move more with Trump's re-election odds than on its own profit prospects, jumped 18.9% Monday to $46.27. The parent company of Trump's Truth Social platform has been rallying since hitting a bottom of roughly $12 in late September, though it's still well below its perch above $60 reached in March.
Robinhood Markets rose 3.3% after it said it would begin allowing some of its customers to trade contracts based on whether they think either Trump or Vice President Kamala Harris will win the 2024 election.
Delta Air Lines was another winner and rose 3.1% after , claiming the cybersecurity company had cut corners and caused a worldwide technology outage that led to thousands of canceled flight in July.
In stock markets abroad, Japan鈥檚 Nikkei 225 rose 1.8% as the value of the Japanese yen sank after s ruling coalition in the 465-seat lower house in a key parliamentary election Sunday.
Stock indexes were mostly higher across much of the rest of Asia and in Europe.
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AP Business Writers Yuri Kageyama and Matt Ott contributed.
Stan Choe, The Associated Press
