S&P500 and Nasdaq 100: Earnings Optimism Fuels Bullish Stock Market Forecast Today

Technology continued to drive momentum, rising 0.81% as large-cap names and semiconductor stocks rebounded. Micron Technology, ON Semiconductor, and KLA all posted gains above 3%, while Apple added nearly 2% following an analyst upgrade from Loop Capital.

Energy and materials each rose 0.91%, benefiting from rising commodity demand expectations. EQT and Expand Energy were among top individual performers, suggesting improving sentiment around natural gas and oil plays.

Industrials and consumer discretionary each climbed 0.69%. Investors are positioning ahead of key earnings from Tesla and other industrial bellwethers. Gains in Las Vegas Sands and Lululemon highlighted confidence in discretionary names.

Health care, up 0.67%, saw a boost from strength in Moderna and Cooper Companies. Communication services gained 0.9%, driven by optimism ahead of Netflix’s results this week.

Utilities and real estate were also positive, gaining 0.74% and 0.54% respectively, as yields eased slightly and investors sought exposure to income-generating assets. Consumer staples lagged, adding just 0.03%, as defensives underperformed in the risk-on environment.

Is the Shutdown Nearing an End?

Markets responded favorably to comments from National Economic Council Director Kevin Hassett, who said a shutdown resolution is likely this week. The White House is reportedly considering stronger action to reach a deal. While economists warn of a potential near-term GDP impact, traders appear to be discounting longer-term damage.