US Equity Indexes Gain as Tech Shares Lead Markets Through Elevated Rates

Original summary · What happened

Major United States equity indexes reversed earlier softness to advance on Monday, navigating persistent borrowing cost headwinds and geopolitical unrest in the Middle East. The tech-heavy Nasdaq Composite rose 0.9% to pace toward a record closing high, while the S&P 500 added 0.6% and the Dow Jones Industrial Average gained 0.1%. Gains occurred even as benchmark sovereign debt yields climbed back toward levels unseen since 2002.

Macroeconomic data provided context for equity valuations, with the Institute for Supply Management's services purchasing managers' index reporting September activity at 54.9, moderating slightly from 55.4 in August. Inflationary indicators within the survey showed sustained cost pressures, as the prices component climbed to 74 from 72.6. Investors are now positioning for the imminent quarterly reporting cycle, with early releases scheduled from Delta Air Lines, PepsiCo, Levi Strauss, and Applied Digital before broader corporate disclosures accelerate.