US stock indexes surged on Monday with the S&P 500, Dow Jones, and Nasdaq all posting gains. Technology stocks led the rally, fueled by expectations of a December Fed rate cut. Semiconductor and AI-infrastructure stocks rebounded, boosting overall market sentiment. The Magnificent Seven tech stocks also contributed to the market’s strength.

T-note yields fell as Fed Governor Christopher Waller advocated for a December rate cut. The cancellation of the October consumer price report added uncertainty. Economic data this week will guide market direction. Expect retail sales to rise, PPI to remain steady, and consumer confidence to dip. The chance of a December Fed rate cut is at 80%.

Q3 earnings season shows strong results with 83% of S&P 500 companies surpassing forecasts. Overseas markets settled higher, and interest rates fell. European government bond yields declined. The German IFO business climate dropped unexpectedly. Cruise line operators and food producers faced pressure, while tech stocks and healthcare companies surged.

Read more at Nasdaq: Stocks Finish Sharply Higher as Tech Stocks Soar