U.S. stocks saw small gains on Wall Street to begin 2026, with the technology sector driving much of the action. The S&P 500 rose 0.2%, the Dow Jones Industrial Average gained 0.7%, and the Nasdaq composite fell slightly. Foreign markets outperformed, with records in Britain and South Korea.

Tech companies like Nvidia and Microsoft influenced the market, with a focus on AI technology. Nvidia rose 1.3%, while Microsoft fell 2.2%. Tesla also dropped 2.6% after reporting falling sales for the second consecutive year. These companies have significant sway over the market due to their high valuations.

Furniture companies like RH and Wayfair gained ground after President Trump delayed increased tariffs on upholstered furniture. Alibaba and Baidu also saw increases following Baidu’s plan to spin off its AI computer chip unit Kunlunxin. Crude oil prices remained stable, while gold prices fell 0.3%.

Treasury yields held steady, with the 10-year Treasury rising to 4.19%. Wall Street gears up for a busy week with economic updates, including reports on the services sector and consumer sentiment. The Fed faces challenges with inflation above 2%, but is expected to hold interest rates steady at the next meeting.

Read more at Yahoo Finance: Wall Street edges higher in a wobbly start to 2026