Wall Street ended Monday with a split decision as a renewed slide in technology stocks pulled the Nasdaq and S&P 500 lower, while a sharp drop in oil prices and a rotation into other sectors helped the Dow Jones Industrial Average finish in positive territory. Stocks started the day higher, but an early rebound faded through the afternoon as investors positioned for a packed week of earnings, U.S. midterm elections, and Friday’s jobs report.
What Moved Markets
The Dow Jones Industrial Average gained 217.69 points, or 0.42%, to close at 51,988.00. The S&P 500 slipped 38.67 points, or 0.51%, to 7,541.40. The Nasdaq Composite fell 272.68 points, or 1.07%, to 25,164.32. The small-cap Russell 2000 dipped 0.21%, and the VIX, Wall Street’s “fear gauge,” rose roughly 10% to about 21.
Two themes drove the session. First, crude oil tumbled, with WTI falling about 7.6% to near $96 a barrel and Brent dropping below $105, after reports that the U.S. and Iran are exploring diplomacy to end the Middle East conflict. Lower energy prices eased inflation worries and helped airlines and consumer-focused companies. Second, selling in chip and AI-related shares continued after last week’s rout. Some analysts have warned that a prolonged correction in AI stocks could weigh on the broader economy. The 10-year Treasury yield stayed elevated near 4.9%.
On the economic front, the ISM manufacturing index rose to 55.5 in October from 54.5, topping forecasts and signaling continued factory expansion, though price pressures remain high. Construction spending fell 1.9% in September, far worse than the small gain economists expected.
Notable Movers
Marvell Technology (MRVL) fell about 9% and Lumentum (LITE) dropped roughly 15% after Marvell agreed to buy Lumentum in an all-stock deal valued at about $115 billion. When a buyer pays with its own shares, a drop in the buyer’s stock lowers the value of the offer.
Oracle (ORCL) lost roughly 5% to 6% after announcing plans to raise $20 billion through $10 billion in new stock and $10 billion in bonds to fund its AI spending, raising concerns about higher debt and share dilution.
IDEXX Laboratories (IDXX) jumped more than 20% after reporting third-quarter revenue growth of 10% to $1.21 billion and raising its 2026 forecast.
EVgo (EVGO) surged more than 40% after its controlling shareholder, LS Power, proposed buying the remaining shares for $2.00 each in cash. Perion (PERI) rose about 31% after agreeing to be acquired by Affle for $11.70 per share.
Airline stocks gained as fuel costs eased, with United (UAL), American (AAL), and Delta (DAL) each rising roughly 4% to 5% during the session, while energy producers such as Occidental (OXY) and Exxon Mobil (XOM) lost ground.
Looking Ahead
Investors face a busy stretch. Apple (AAPL) and Palantir (PLTR) report quarterly results after Monday’s close, with Apple’s report the first under its new CEO. Advanced Micro Devices (AMD) reports Tuesday after the bell and will be a key test of AI chip demand. Tuesday is also Election Day for the U.S. midterms, which could influence market sentiment. The week wraps up Friday morning with the October jobs report, where economists expect roughly 55,000 new jobs. Developments in U.S.-Iran talks and oil prices will also remain in focus.