The Dow Jones Industrial Average closed at a new all-time high on Monday as market participants grew more optimistic ahead of more inflation and earnings data. The 30-stock index climbed over 125 points to settle at 38,797.38, while the S&P 500 Index ticked below a flatline and the Nasdaq Composite lost 0.3%.
Here's how the market settled on Monday:
S&P 500 Index (NYSE: SPY): -0.09% or -4.77 points to 5,021.84
Dow Jones Industrial Average (NYSE: DIA): +0.33% or +125.69 points to 38,797.38
Nasdaq Composite Index (NASDAQ: QQQ): -0.30% or -48.12 points to 15,942.55
Making Headlines: Nvidia (NASDAQ: NVDA) shares briefly topped Amazon's (NASDAQ: AMZN) market capitalization on Monday, as months of momentum from the emerging artificial intelligence market pushed the chipmaker to become the fourth most valuable company in the United States.
At its new inta-day high of $734.96, Nvidia was worth $1.82 trillion compared to Amazon's market cap of $.81 trillion and Alphabet's (NASDAQ: GOOGL) (NASDAQ: GOOG) $1.87 trillion, according to data compiled by LSEG. The stock is currently up 50% year-to-date and more than 230% in the last 12 months.
In Single-Stock News: Diamondback Energy (NASDAQ: FANG) announced Monday it will acquire Endeavor Energy in a $26 billion deal that includes all of the largest privately held oil and gas producer in the Permian Basin's debt. The combined company -- its deal expected to close in the fourth-quarter of 2024 -- would become the third oil and gas producer in the region behind ExxonMobil (NYSE: XOM) and Chevron (NYSE: CVX).
"The combined company's inventory will have industry-leading depth and quality that will be converted into cash flow with the industry's lowest cost structure, creating a differentiated value proposition for our stockholders," Diamondback CEO Travis Stice said in a statement.
Looking Ahead: Investors will react to the latest reading of the consumer price index (CPI) for January, which is set to be released Tuesday morning.
Bank of America Strategist Meghan Swiber wrote in a Monday note that the the Federal Reserve has "emphasized that it would need to see 'greater confidence" in the inflation data to begin its [interest rate] cutting cycle," added that "to date, disinflation has been driven by goods price deflation while services disinflation has been more stubborn," and that the first expects their "divergence" to remain in January.
Beyond key inflation data, market participants are also gearing up for a busy day of quarterly earnings, with Tuesday's reports including Arista Networks (NYSE: ANET), Coca-Cola (NYSE: KO), Shopify (NYSE: SHOP), Airbnb (NYSE: ABNB) Datadog (NASDAQ: DDOG), Restaurant Brands International (NYSE: QSR) and Marriott International (NYSE: MAR).