Investing.com-- The S&P 500 rallied on tech strength Monday, rebounding from its biggest weekly loss since March last year as investors looked ahead to quarterly earnings from big tech.
At 16:00 ET (20:00 GMT), Dow Jones Industrial Average rose 253 points, or 0.7%, S&P 500 rose 0.9%, while NASDAQ Composite rose 1.1%. The S&P 500 notched its six-straight weekly loss last week and suffered its biggest weekly loss since March 2023.
Big tech earnings eyed
Tech led the broader market rebound following a recent rout as investors looked as investors looked to slew of quarterly earnings from four of the 'Magnificent 7' stocks set to report earnings this week.
Tesla (NASDAQ:TSLA) on Tuesday, Facebook-owner Meta Platforms (NASDAQ:META) on Wednesday, followed by Microsoft (NASDAQ:MSFT) and Google-owner Alphabet (NASDAQ:GOOGL) on Thursday.
Ahead of its earnings, Tesla fell over 3% after the EV manufacturer announced fresh price cuts in several key markets, including China and Germany, days after similar reductions in the United States, risking a fresh electric vehicle price war.
Verizon falls despite earnings delight, ZionsBancorp delivers Q1 results beat to help lift regional banks
Elsewhere, Verizon Communications (NYSE:VZ) stock fell more than 4% even after the telecoms giant said it lost fewer-than-expected wireless subscribers in the first quarter, though that was overshadowed by weaker than expected cash flow of $2.7B in the quarter.
Zions Bancorporation (NASDAQ:ZION) rose 3.5% after reporting quarterly results that beat on the both the top and bottom lines, driven by lower credit provisions.
"We regard Zions stock as undervalued, as the market is too negative on its net interest income outlook," Morningstar said Monday.
2-Year Treasury yield briefly touches 5% ahead of key inflation data
The yield on the 2-year Treasury briefly topped 5%, adding to recent gains as investors looked ahead to slew of key data including manufacturing data, preliminary economic growth data for Q1, and the Fed's PCE price index data, the Fed’s preferred inflation gauge, later this week.
The slew of data come as bets on rate cuts have tumbled, with just two cuts now expected, which is below the Fed's projection for two cuts. The Fed is widely expected to deliver an unchanged rate decision on May. 1, but focus will be Chairman Jerome Powell's commentary for further clues on the rate outlook.
"We expect little to no change in the post-FOMC meeting statement [...] with most of the action or likely to "come from Chair Powell's post-meeting press conference," UBS said in a note.
Salesforce backs away from Informatica deal talks; Matterport in takeover offer
Salesforce (NYSE:CRM) stock rose 1.3% after the business software maker backed away from its talks to acquire data-management software firm Informatica (NYSE:INFA), down 5.5%, after the two companies could not agree on terms.
Matterport Inc (NASDAQ:MTTR) jumped 175% after CoStar Group said it had agreed to acquire all outstanding shares of the company for $5.50 a share, or $1.6 billion on enterprise value.
Cryptostocks jump on bitcoin gains following halving event
Cryptocurrency-related stocks including Marathon Digital Holdings Inc (NASDAQ:MARA), Coinbase Global Inc (NASDAQ:COIN), Riot Platforms (NASDAQ:RIOT) and MicroStrategy Incorporated (NASDAQ:MSTR) were sharply as bitcoin rose to $66,402 after completing its halving event.
The halving events, the fourth since the crypto's inception, cut the amount of bitcoin that is produced on the bitcoin blockchain, or network, by miners in half.
(Peter Nurse, Ambar Warrick contributed to this article.)