U.S. stock futures ticked lower on Monday night after all three major indexes rose to fresh records during the regular session.
Shares of
Hewlett Packard Enterprise surged 37% after the technology company issued a rosy outlook for the current quarter and raised its guidance for the full year, trouncing the Street's estimates. HPE's second-quarter results also marked its biggest earnings beat since 2018.
A rally in the technology sector, led by
Nvidia following the launch of a new chip for PCs, propelled stocks higher on Monday. The S&P 500 gained 0.26%, while the Nasdaq Composite added 0.42%. The Dow Jones Industrial Average rose 46.42 points, or 0.09%. All three major averages notched new intraday all-time highs and closing records.
Enthusiasm over the artificial intelligence trade has resulted in tremendous performance in the equity markets over the past few weeks. But Katie Stockton, founder of Fairlead Strategies, says that there are no indications that the equity market rally is over.
"We've had nine consecutive up weeks for the S&P 500, and naturally that does reflect positive momentum. Momentum is positive now, short term, intermediate term, long term, and we saw a series of flag pattern breakouts, or essentially sharp run ups followed by brief consolidation phases that are then resolved higher,"
Stockton said on CNBC's " Closing Bell" on Monday afternoon. She noted that Dell was a recent example.
"These run-ups are really explosive. Unfortunately, that also means they tend to end in dramatic fashion, but we don't have indications yet, any confirmed sell signals from our overbought oversold metrics to suggest that this is over."
Oil prices also rose on Monday after Iranian state media reported that the country's negotiators will
stop exchanging messages with the U.S. via intermediaries. Iran's state-affiliated news outlet, Tasnim, also said that the country will move to fully block the Strait of Hormuz. The report added that "no dialogue will take place" until Israel fully stops all attacks in both Lebanon and Gaza and fully withdraws from occupied areas in Lebanon.
In a later
Truth Social post, the president said that he "had a very productive call" with Israeli Prime Minister Benjamin Netanyahu. In a separate post, Trump added that talks with Iran are "continuing, at a rapid pace."
Stock futures open marginally lower
Stock futures opened little changed on Monday evening.
Shortly after 6 p.m. ET, futures tied to the three major averages were trading just below the flatline.
— Lisa Kailai Han
<small>Source: CNBC</small>
