Tech stocks took the lead Monday ahead of what will be a busy week for the sector, but most of the day's attention went to gold prices, which settled at new all-time highs.
"This is the busiest week for the 2Q earnings season," Credit Suisse analysts write, "with over 180 companies representing 43% of the S&P 500’s market cap reporting results, including 4 of the top 5 biggest names."
That refers to Apple (AAPL (opens in new tab), +2.4%), Amazon.com (AMZN (opens in new tab), +1.5%) and Facebook (FB (opens in new tab), +1.2%), which all advanced solidly on Monday, and which we preview in this week's earnings calendar. Google parent Alphabet (GOOGL (opens in new tab), +1.4%) also will reveal its quarterly results this week.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Investors remain hopeful for new federal stimulus measures, which are expected to be hashed out this week. Senate Republicans plan to release their proposal today, and while it's expected to include $1,200 checks once more, it's also expected to reduce the weekly unemployment "bonus" from $600 to $200.
A strong day for the mega-cap tech stocks above, as well as chipmakers not named Intel (INTC, -2.0%) – including Qualcomm (QCOM (opens in new tab), +4.3%), Lam Research (LRCX (opens in new tab), +3.6%) and Applied Materials (AMAT (opens in new tab), +3.9%) – led the Nasdaq Composite 1.7% higher to 10,536. INTC stock continued to slump in the wake of last week's announcement that its 7-nanometer chips would be delayed by half a year.
The Dow Jones Industrial Average improved a more modest 0.4% to close at 26,584, and the S&P 500 improved by 0.7% to 3,239. The small-cap Russell 2000 gained 1.1% to 1,483.
Gold Is the Star of the Show
Gold futures jumped 1.8% to $1,931 an ounce, its highest settlement in history, to continue a rip-roaring 26% year-to-date rally in the yellow metal.
And gold could continue running, thanks to the possibility for further declines in the U.S. dollar, higher inflation and lower Treasury yields – factors that lead Deutsche Bank analyst Michael Hsueh to write that "the gold rally is far from over" in a recent note.
"Within this bull market cycle, it is only a modest stretch to envision fundamentals falling into place for USD 2,000/oz to be within reach," Hsueh writes. "In fact, we think fundamentals will support a range between USD 2,000-2,100/oz, well before the market begins to anticipate Fed tightening."
If you're new to gold investing, check out our primer of facts you should know about the metal. If you're ready to invest in gold, funds that invest in actual physical bullion or mining companies are your easiest options. You can use ETFs to buy silver, too, which is having itself a ball at roughly 36% YTD gains that have brought it to multiyear highs.
But if you only have eyes for gold, consider these seven funds that easily (and typically cheaply) let investors leverage the world's favorite precious metal.
Kyle Woodley was long AMZN and FB as of this writing.
-
-
Fed Raises Interest Rates Yet Again: What the Experts Are Saying
Federal Reserve The Fed's quarter-point rate hike was welcomed by the market and market pros, alike.
-
Stock Market Today: Stocks Swing Higher After Powell Presser
The Fed raised rates by 0.25%, as expected, and Powell promised to "stay the course until the job is done."
-
Stock Market Today: Stocks Swing Higher After Powell Presser
The Fed raised rates by 0.25%, as expected, and Powell promised to "stay the course until the job is done."
-
Stock Market Today: Stocks Gain Ahead of Fed Meeting
Exxon Mobil (XOM) and General Motors (GM) both popped after reporting solid earnings.
-
Stock Market Today: Stocks Slump Ahead of Tech Earnings, Fed Meeting
A busy week on Wall Street kicked off with losses for the major benchmarks.
-
Stock Market Today: Stocks End the Week on a High Note
Intel stock plunged after a big earnings miss, but encouraging inflation and consumer sentiment data created tailwinds for the broad market.
-
Kiplinger's Weekly Earnings Calendar (Jan. 30-Feb. 1)
stocks Check out our earnings calendar for the upcoming week, as well as our previews of the more noteworthy reports.
-
Stock Market Today: Stocks Climb After Tesla Earnings, GDP
The electric vehicle maker reported record profit and revenue for the fourth quarter.
-
Stock Market Today: Microsoft Earnings Weigh on Stocks
While Microsoft reported top- and bottom-line beats in its fiscal Q2, shares declined on disappointing guidance.
-
The 5 Best Actively Managed Fidelity Funds to Buy Now
mutual funds In a stock picker's market, it's sometimes best to leave the driving to the pros. These Fidelity funds provide investors solid active management at low costs.
