The Nasdaq set a new record for the first time since June, while the S&P 500 had its best day since August

The Nasdaq Composite Index, which tracks “tech” stocks, set a new record at the close of trading, rising to 27,122.09 points. It gained 2.26% over the course of the day. The index reached a new high for the first time in nearly four months—since June 2. The Nasdaq 100 Index, which includes the largest companies by market capitalization, rose even more—by 2.83%.

The S&P 500 broad-market index rose 1.49%, marking its best one-day performance since August, according to Bloomberg. The S&P 500 is 0.44% away from a new record high. The Dow Jones Industrial Average, a blue-chip index, rose 0.71%. It needs to gain another 4.2% to reach a new high.

At the same time, gold prices fell on Monday for the first time in four sessions: September futures for the precious metal dropped 0.9% to $4,345.8 per troy ounce, according to MarketWatch. Bitcoin jumped more than 7% and is trading at $87,000, according to CoinMarketCap.

Brent crude oil futures fell 3.4% to $100.34 per barrel. U.S. WTI crude oil futures lost 4.5% and dropped to $95.78 per barrel.

A sharp rise in tech stocks lifted the indices; the rally was also fueled by falling oil prices and optimism surrounding the meeting between U.S. President Donald Trump and Chinese President Xi Jinping, according to Bloomberg. Investors are also hoping for progress in diplomatic relations between the U.S. and Iran in light of Iranian President Masoud Pezeshkian’s expected visit to New York to attend the UN General Assembly: Trump has expressed a willingness to meet with him, Barron’s notes.

"If these negotiations go well, I think there is hope in the market that this will be a 'tailwind' (a positive factor — Oninvest) for oil and everything further down the supply chain,” noted Baird investment strategist Ross Mayfield in the publication’s report.

"Oil prices took a breather today amid hopes for new talks on the sidelines of the UN General Assembly," added GasBuddy analyst Patrick de Haan (as quoted by Barron's). According to the expert, this should also bring relief to the natural gas and diesel fuel markets.

Hope for a possible resolution to the conflict has increased investors’ willingness to take risks, according to Mayfield. Stocks in the artificial intelligence sector benefited from this increased risk tolerance, Barron’s added. On Monday, Intel shares soared 12%, and Advanced Micro Devices shares rose about 10%, with the latter reaching a market capitalization of $1 trillion for the first time. Meta shares gained 11.4% at the close of trading, thanks to the success of its AI agent Muse and a price target increase from Wells Fargo.

“There’s no doubt that today’s rally is impressive, but it’s not broad-based,” said Matt Meili, senior market strategist at Miller Tabak + Co., as quoted by Bloomberg. The main gains were concentrated in technology stocks, Mealy explained. In the “very short term,” markets can expect continued volatility due to the U.S.-Iran conflict and seasonal market weakness in September, according to JPMorgan strategists as reported by Bloomberg. In October, investors can expect the market to realign more closely with fundamentals, and stocks could find support there, the bank believes.

This article was AI-translated and verified by a human editor