Stock indexes surged today, with the S&P 500 up +1.22%, Dow Jones up +0.91%, and Nasdaq 100 up +1.67%. Gold hit a new high, boosted by central bank buying and safe-haven demand. Markets rebounded after the US softened its China trade stance. The government shutdown continues, delaying key economic reports.

Trade tensions eased as Trump signaled openness to a China deal. China’s Sep exports and imports beat expectations, supporting global growth. Optimism in AI sector growth lifted stock indexes last week. Corporate earnings season begins this week, with banks releasing Q3 results. Fed Chair Powell speaks at NABE Annual Meeting.

Market focus this week is on trade news and government reopening attempts. Corporate earnings outlook is positive, with 22% of S&P 500 firms expected to beat Q3 estimates. Markets are pricing a 99% chance of a -25 bp rate cut at the next FOMC meeting. Overseas markets show mixed performance today.

Interest rates are down as stocks rebound, reducing safe-haven demand. European bond yields fall, German wholesale prices rise. ECB unlikely to cut rates at the next meeting. Tech stocks surge, led by chipmakers like Broadcom and Micron. Rare earth stocks climb amid US-China tensions. Mining stocks rise with gold prices.

Estee Lauder and Warner Bros Discovery gain after upgrades and takeover news. Ciena Corp and Stubhub Holdings also see gains. Tvardi Therapeutics slumps after drug trial failure. Fastenal reports lower-than-expected earnings, casino stocks decline on Macau revenue drop. Defensive food and beverage stocks slip. Baldwin Insurance Group downgraded. Earnings reports expected from Fastenal and Lionsgate Studios.

Read more at Nasdaq: Stocks Rebound as President Trump Softens China Rhetoric