US stocks: S&P 500, Nasdaq end up as tech, chipmakers rebound

U.S. stocks ended mostly higher on Monday, led by gains in the Nasdaq and chipmakers as investors sought bargains after Friday’s sharp selloff and were relieved after Iran and Israel said they had halted attacks on each other.

The halt came after an appeal from U.S. President Donald Trump that they immediately “stop shooting.” The attacks over 24 hours were the most ‌direct confrontation between ⁠Iran and ⁠Israel since an April ceasefire in the war. The Dow ended lower and stocks overall closed off the highs of the day. Apple shares eased late in the session even as the company unveiled a series of AI upgrades to Siri. The S&P 500 technology sector and Philadelphia SE Semiconductor Index advanced, rebounding from Friday’s losses that wiped out $1 trillion in market value for U.S.-listed chipmakers. Intel shares also jumped after news website the Information reported that Alphabet’s Google had placed an order to manufacture more than 3 million tensor processing units in 2028.

“Today looks like a day where investors are doing a little bit of bargain hunting ⁠off the ‌big tech selloff,” said Rick Meckler, partner at Cherry Lane Investments, a family investment office in New Vernon, New Jersey. “What normally happens after that is you get analysts coming in and reiterating buys.”

He added: “This market has ⁠been priced for quite a while for perfection, and these are certainly imperfect times. In that environment, you are going to see some back-and-forth, and some fear of prices having gone too far.” Stocks sold off late last week after hitting a series of record highs recently. Underwhelming results from chipmaker Broadcom last week had raised concerns that the chip sector was growing too fast, while much stronger than expected jobs data for May contributed to Friday’s rout, as traders priced in interest rate increases this year.

According to preliminary data, the S&P 500 gained 22.07 points, or 0.30%, to end at 7,405.81 points, while the Nasdaq Composite gained 222.13 points, or 0.86%, ‌to 25,931.56. The Dow Jones Industrial Average fell 75.61 points, or 0.15%, to 50,791.17.

Also Read | US stocks: Alphabet taps Intel to make three million in-house chips: Report Apple announced the Siri revamp at its annual Worldwide Developers Conference at its Cupertino, California, headquarters. Investors may be having a “sell-on-the-news” response, said Bruce Zaro, managing director at Granite Wealth Management in Plymouth, Massachusetts.

“Perception has ⁠been for quite some time that Apple had been behind the curve as far as their AI offerings. That’s why the stock widely underperformed many of the other big techs for some time until recently,” he said. SpaceX’s initial public offering on Friday could also prove a major test for U.S. stock markets, with investors wary of possible overexuberance. Other big tech advancers included Marvell Technology, which jumped as the chipmaker was set to join the benchmark S&P 500 before the start of trading on June 22. Eli Lilly gained after the drugmaker’s trial results showed its next-generation obesity drug, retatrutide, curbed sleep apnea severity in addition to boosting weight loss and helping knee pain.