Dow surges 500 points in broad rally as oil prices slide: Live updates

President Donald Trump accused Iran’s leadership of being “unbelievably duplicitous,” saying it was publicly denying negotiations while privately seeking talks.

In a social media post Monday, Trump also said the U.S. Navy effectively controls the Strait of Hormuz through what he described as a “blockade” and reiterated that “Iran will never have a nuclear weapon.”

“Nothing gets through to Iran, unless we want it to, and nothing will get through, unless a Deal, or Total Surrender, is accomplished,” he wrote in a Truth Social post Monday. “Whether Iran wants to admit it or not, we are, in fact, talking of a solution to a problem that they have caused, for decades.”

The remarks came after Trump said negotiations with Iran would begin Monday, following his decision to hold off on new military strikes against the country.

— Yun Li

AstraZeneca and Bristol Myers Squibb are reportedly in talks for a merger, which briefly put the State Street Health Care Select Sector SPDR ETF on pace for its highest close ever.

The State Street Health Care Select Sector SPDR ETF was up more than 1% higher in pre-market trading on Monday. That put it on track to eclipse its record close of $163.74 hit on July 2.

However, the fund has since given up those gains. It was last trading little changed.

It’s still unclear whether a deal will come together, but talks to create a $400 billion pharmaceutical behemoth have been underway for the past several months, the Financial Times said. AstraZeneca and Bristol Myers Squibb did not immediately respond to a CNBC request for comment.

Bristol-Myers Squibb is more than 4% higher in premarket trading Monday while AstraZeneca American depositary receipts are down almost 6%. AstraZeneca is not in the State Street Health Care Select Sector SPDR ETF, which only tracks U.S. health care stocks in the S&P 500.

The market is underestimating GE Vernova, so investors should scoop up its shares while they’re relatively inexpensive, according to William Blair.

The investment firm, which added GE Vernova to its conviction list, has an outperform rating on the energy stock.

“We are taking the opposite side of this trade and believe that the market still underestimates the level by which electrical infrastructure and the U.S. power grid need to be built out,” analysts wrote in the note.

They added, “We believe that open models and more efficient predictions help GE Vernova because high performance, low cost models like Kimi K3 lower the ROl hurdle for enterprise Al deployment. Lower query costs exponentially increase the total number of applications and queries.”

Shares ticked up 1% on Monday.

— Ananya Chetia

Amazon‘s market cap touched the $3 trillion for the first time on Monday.

The milestone came as shares of the e-commerce giant climbed nearly 5% to fresh all-time highs in Monday’s session. Amazon surged 17% last week, marking its biggest weekly gain since 2015, after reporting better-than-expected earnings for the second quarter.

— Alex Harring

U.S. factory activity hit its fastest pace in more than four years during July on strong gains in new export orders, backlogs and imports, while prices eased slightly and employment expanded, the Institute for Supply Management reported Monday.

The ISM Manufacturing PMI posted a 55.6 reading, up 2.3 points from June and the best since May 2022. Economists surveyed by Dow Jones had been expecting a 54.0 level. The survey gauges the percentage of companies reporting growth, so anything above 50 indicates expansion.

New export orders and backlog orders both rose 4.5 points to respective readings of 53.0 and 55.0, while production jumped to 58.5, up 6.3 points. Employment climbed to 52.8, up 3.1 points to hits highest since August 2022 and in expansion for the first time in 33 months.

While the prices index stayed solidly in growth territory at 71.1, that was down 1.9 points from June.

—Jeff Cox

Since its first trade on June 12, Elon Musk’s SpaceX has lost over $500 billion in market cap. Now with the company’s first earnings report on August 4, Wall Street analysts remain broadly bullish on SpaceX’s long-term prospects and focused on Starship’s progress.

Deutsche Bank maintained its buy rating and $255 price target, implying a 135% upside from Friday’s close of $108.37. The bank’s analysts remain steadfast in their long-term bull thesis for SpaceX, adding that a large government/sovereign AI deal would be viewed positively for the stock.

“Following the progress made on Starship Flight 13, we anticipate focus will be on timing of the next few launches given intention to attempt a second stage (Ship) tower catch,” according to the bank’s analyst, Edison Yu. Yu expects revenue of $6.67 billion and adjusted EBITDA of $2.16 billion. 

RBC maintained its outperform rating and $225 target, but analyst Ken Herbert  warns that “the lock-up expiration is a material overhang.” Despite the stock lagging since its IPO, Herbert expects lingering technical factors and macro sentiment to remain headwinds. The analyst is looking for a more detailed Starship update after the recent successful test flight.

Bernstein rates SpaceX outperform with a $239 target, implying an upside of 120% from Friday’s close. Analyst Douglas Harned estimates the staggered expirations could expand the company’s free float to as much as 40% by December this year.

Harned says the most important factor is the path to fully reusable Starship launches that will potentially enable the orbital data center plans. “The company needs to be clear on how the dream is being translated into reality,” Harned said in Monday’s note. “Near-term performance numbers and the success of Starlink will be interesting. But those are not what will ultimately deliver the potential value.”

Susquehanna International Group, on the other hand, remains cautious, keeping a neutral rating and $170 target, implying a 57% upside from Friday’s close.

“Investors need to gain confidence in future estimates for valuation to find its footing,” the firm’s analyst, Charles Minervino, said in Monday’s note.

Starlink and Starship Progress will be a focus for the analyst, as Starship progress remains crucial for the company’s roadmap within Connectivity and AI. “We are watching the trajectory of Launch Services revenue ($330 million in the first quarter of 2026 vs. $566 million in the first quarter of 2025) following the slippage of some launches in the prior quarter,” the analyst writes.

— Deena Zaidi

Michael Saylor’s Strategy reported on Monday that it sold 1,638 BTC for $104.7 million between July 27 and August 2 at an average price of $63,957. It used about half of the proceeds to fund preferred-stock dividends and the remainder to repurchase STRC shares.

The filing also showed Strategy raised $290.6 million by selling 3.01 million shares through its at-the-market offering program. It allocated $250 million of the proceeds to its U.S. dollar reserve and 28.9 million for repurchases of STRC.

Meanwhile, U.S. bitcoin ETFs logged net outflows of $265.37 million on Friday, offsetting inflows from the previous session and bringing total outflows for the week to $61.5 million.

— Tanaya Macheel

Oil prices dropped after President Donald Trump announced negotiations with Iran would start on Monday and halted fresh strikes against the nation too. 

West Texas Intermediate futures for September delivery dropped more than 7% to $78.59 while Brent crude futures for October delivery fell nearly 6% to $83.03 a barrel. 

Trump said the strikes were called off after requests from Saudi Arabia, the United Arab Emirates, Qatar and Iran. He told reporters negotiations between the U.S. and Iran could begin this week, but Iran’s foreign ministry spokesperson said there were no immediate plans for peace talks.  

— Ananya Chetia

AMC shares rose 6% on Monday following a strong opening weekend for ‘Spider-Man: Brand New Day.’

The latest installment in the ‘Spider-Man’ film franchise raked in $355 million at the box office over the weekend. 

Shares have risen 49% over the past month as the movie theater chain has leveraged interest in films like Christopher Nolan’s ‘The Odyssey’ to bring in bigger crowds.

— Ananya Chetia

Now that the bulk of earnings season is behind investors, it’s clear that corporate fundamentals remain strong. According to Bank of America Securities, the earnings beat rate for the second quarter is at its highest going back to 2021, with 77% of S&P 500 companies that have reported topping analysts’ expectations.

The S&P 500 is on track to deliver second quarter earnings growth of 27% on a yearly basis, excluding mark-ups at Google-parent Alphabet and Amazon, the firm said. That’s a 4% beat versus the consensus at the start of the earnings season.

With the inclusion of Alphabet and Amazon, the broader index is on pace to deliver even more incredible earnings growth, of 45% year over year, the firm noted.

— Sarah Min

U.S. intervention briefly lifted the yen about 5%, strengthening it to roughly 157 per dollar from just above 163, a four-decade low.

But without faster rate hikes from the Bank of Japan(BoJ) and stronger domestic fundamentals, analysts see little hope for a sustained recovery for the battered currency.

“Japan’s policy mix remains unlikely to generate sustained yen strength,” UBS strategists Teck Leng Tan and Dominic Schnider warned.

HSBC analysts added that a structural shift in the BoJ’s underlying policies will be fundamental to a lasting rally in the currency. 

“Unless we see much faster BoJ rate hikes, and the government taking a clearer stand on the JPY – rather than saying that JPY weakness has both positive and negative implications – as well as dialling back its ambition for fiscal expansion, we still lack confidence in projecting a downtrend for USD-JPY,” the analysts wrote in a Monday note. 

— Deena Zaidi

Shares of Marriott International were off more than 4% after the hotel giant reported weaker-than-expected revenues in its second-quarter earnings report. 

Revenue came in at $7.07 billion, lower than consensus estimates for $7.2 billion, according to analysts polled by LSEG. Adjusted earnings came in above expectations, but earnings per share guidance for the current quarter came in below estimates, according to FactSet. 

The company said international revenue per available room fell 0.5% in the quarter due to the conflict in the Middle East, which suffered a 43% decline. However, Marriott raised its full-year guidance for revenue per available room growth. 

US stocks are looking ‘relatively cheaper,’ and investors should take advantage of the situation, according to Oppenheimer. 

“A silver lining to the over-hanging clouds of recent volatility and selling has been some further reduction in the forward earnings multiple of the S&P 500 which ended last week at 19.7 times the next 12-month earnings estimates,” said John Stoltzfus, chief investment strategist and managing director at Oppenheimer Asset Management. “Stocks are getting relatively cheaper.”

At that level, the S&P 500 is 2.5% below its five-year average forward multiple, the strategist noted. 

Stocks across the broad-market index are poised to gain ground in the near term, largely due to a strong earnings season, according to Oppenheimer. All 11 sectors of the S&P 500 are seeing earnings growth from a year earlier, with three of them posting triple-digit earnings gains. 

— Liz Napolitano

Most of the Magnificent Seven stocks rose in the premarket on Monday, even as the broader tech trade — namely semiconductors — faltered.

Here are the moves.

• Alphabet up 1.9%
• Amazon up 1.9%
• Apple up 0.8%
• Meta Platforms up 1.9%
• Microsoft up 2.1%
• Tesla up 0.3%

Nvidia alone was down among the group.

— Sarah Min

U.S. stock futures were in positive territory ahead of the new trading week, with Dow Jones futures more than 350 points higher, as futures tied to the S&P 500 and tech-heavy Nasdaq both rose more than 0.5%.

• Oil prices tumbled about 5% after President Donald Trump said fresh Middle East talks would resume Monday, having earlier called off a planned strike against Iran.
• Alibaba‘s U.S.-listed shares advanced in premarket trading after the Chinese internet pioneer unveiled a powerful new AI model.
• Treasury yields fell on news of a potential de-escalation of tensions in the Middle East, as investors await key U.S. jobs data due later this week.

— Hugh Leask

U.S. Treasury yields followed oil prices lower on Monday as investors monitor signs of de-escalation in the Iran conflict. 

AstraZeneca’s slide wiped out the FTSE 100‘s morning gains on Monday, with the U.K. index last seen hovering around the flatline, lagging other continental benchmarks.

—Hugh Leask

Asia-Pacific markets ended mixed on Monday. South Korea’s Kospi fell over 5% to close at 6,257.45, giving up some of the gains from Friday after clocking its best day on record.

The small-cap Kosdaq, however, added 2.44% to end at 737.35.

Japan’s Nikkei 225 slid 0.94% to 63,754.9, while the Topix lost over 1% to 3,960.03.

Australia’s S&P/ASX 200 closed 0.47% higher at 9,019.3.

Mainland China’s CSI 300 fell 0.98% to close at 4,543.18. Hong Kong’s Hang Seng index was up 0.26% as of its last hour of trade.

—Lee Ying Shan

The pan-European Stoxx 600 opened Monday’s session 0.35% higher, while most regional sectors and major bourses were in positive territory shortly after 8:00 a.m. in London (3:00 a.m. in E.T.).

Travel and leisure stocks led early gains, rising 1.79%, with construction stocks up 1.6%, and industrial goods 1.2% higher. Oil and gas companies slumped 1.79% as oil prices slumped in morning dealmaking.

Meanwhile, Germany’s DAX was up more than 0.91%, the French CAC 40 gained 0.90%, the Italian FTSE MIB advanced 0.81%, and the U.K.’s FTSE 100 was last seen flat.

Britain’s Shell on Monday signed a deal with France’s TotalEnergies for the sale of its European onshore renewables portfolio, including development-stage and operational assets across the U.K., Italy, Spain and the Netherlands.

The announcement, which is subject to regulatory approvals, is expected to be completed by the end of the year.

“This agreement reflects Shell’s continued focus on actively managing and high-grading its power portfolio in line with the strategy set out at Capital Markets Day 2025,” said Machteld de Haan, president, downstream, renewables and energy solutions at Shell.

It comes shortly after Shell reported its best quarterly result in four years, boosted by the jump in oil and gas prices amid the Iran war. The London-listed company on Thursday posted adjusted earnings of $9.84 billion for the second quarter, comfortably beating analyst expectations.

— Sam Meredith

BP has completed the sale of its Gelsenkirchen refinery and related businesses to investment firm Klesch Group, the British energy major said on Monday, in a deal expected to lower the oil giant’s underlying operating expenditure by around $1 billion.

The transaction continues BP’s simplification push as the company doubles down on its core business model of oil and gas and divests non-core assets to reduce debt.

“By concentrating our capital on the assets and markets where bp can be most competitive, we are building a higher-value, more resilient downstream business that continues to supply the fuels and products our customers rely on,” Richard Harding, interim executive vice president of Downstream at BP, said in a statement.

BP did not specify the value of the deal. It had previously announced its intention to sell the refinery and associated assets to Klesch in March.

— Sam Meredith

European stock markets are expected to open higher on the first trading day of the month, as oil prices plunged after U.S. President Donald Trump said talks with Iran would resume on Monday.

Stoxx 50 futures were up 0.8% ahead of the opening bell, while major bourses in London, Frankfurt, Paris and Milan are all set to move higher at the start of Monday’s session.

Germany’s DAX was up more than 1%, while both the Italian FTSE MIB and the French CAC 40 were more than 0.7% higher. Futures tied to the U.K.’s FTSE 100 were last seen 0.3% up.

—Hugh Leask

Japan’s finance ministry said Monday it had conducted a coordinated yen-buying operation with the U.S. Treasury on Friday, marking a rare joint move by the two allies to stem sharp swings in the Japanese currency.

Tokyo signaled it was prepared to act again if needed, saying it “will not hesitate to conduct further coordinated interventions in the future” and remains in close communication with the U.S. Treasury. Finance Minister Satsuki Katayama also stressed that Japan “remains attentive and in close communication with counterparts at U.S. Treasury.”

The yen’s weakness has become an increasing concern for Tokyo, with the currency recently falling to its weakest level in roughly four decades against the dollar. The Japanese yen hit 163.73 against the greenback on Thursday last week, before strengthening to 157.57 on Friday. It was trading at 157.70 per dollar on Monday

—Lee Ying Shan

Shares of Alibaba climbed 6% after the Chinese tech giant unveiled its latest flagship artificial intelligence model, Qwen3.8-Max, saying the model’s open weights will be released next week, allowing developers to download and run it locally.

The release comes after Chinese AI startup DeepSeek launched its latest V4 Flash model in beta mode on Friday.

—Jenny Lee

South Korea’s chip heavyweights SK Hynix and Samsung Electronics fell in Seoul on Monday, after both skyrocketed on Friday to clock their best one-day gains.

SK Hynix was 6.29% lower, while Samsung declined nearly 7%.

Among Japanese chip stocks Advantest slipped 2.49%, while Tokyo Electron declined 1.93%, Disco rose 3.74%, Lasertec advanced 7.83% and Renesas Electronics surged 12%. SoftBank Group added 1.43%.

Taiwan’s TSMC decline 2.06%.

—Justina Lee

Shares of SK Inc dropped 4% after Doosan announced in a regulatory filing on Friday that it had agreed to acquire a 70.61% stake in semiconductor wafer maker SK Siltron from SK Inc. for 2.3 trillion won ($1.7 billion).

Citi said Doosan’s acquisition was agreed at a lower-than-expected price, valuing the deal at about 9.7 times estimated 2026 enterprise value to EBITDA. The bank views the transaction as positive for Doosan.

The deal comes after months of negotiations since SK selected Doosan as the preferred bidder in December. 

Doosan shares rose 6%, bucking a broader market sell-off that saw South Korea’s benchmark Kospi slide 4.79% in early trading.

—Jenny Lee

Mainland China stocks were lower in early trade Monday, tracking a broader decline in Asia markets.

China’s CSI 300 was 0.57% lower. Hong Kong’s Hang Seng index, however, bucked the broader trend to gain 0.55% as technology stocks rose. Alibaba and Baidu shares were up 3.4% and 2.8% in early trading.

—Justina Lee

Toyota Motor shares fell more than 5% Monday, after the world’s biggest automaker is expected to report a fifth straight ‌quarterly operating profit decline this week, weighed down by higher costs and weaker vehicle sales.

Toyota is estimated to post 1.11 trillion yen ($7.04 billion) in profit for the April-June quarter, down ​5% from a year ago, on higher costs and weaker vehicle sales, according to median estimate of analysts surveyed by LSEG.

Meanwhile, traders would also look for management comments regarding the impact of a Southern Japan earthquake on disruptions to its production facilities, when it posts its earnings later this week.

—Justina Lee

Asia-Pacific markets traded lower early Monday.

Japan’s Nikkei 225 fell 1.43% while the Topix declined 1.45%.

The Kospi dropped 4.57% at open, while the small-cap Kosdaq slipped 1.67%.

Australia’s benchmark S&P/ASX 200 was 0.36% lower.

—Justina Lee

Asia-Pacific markets were set to open mixed Monday, amid lower oil prices after U.S. President Donald Trump cancelled planned attack on Iran.

Japan’s Nikkei 225 was poised to fall, with its Chicago futures contract at 63,700 and its Osaka counterpart last trading at 62,950, compared with the index’s previous close of 64,362.02.

Hong Kong Hang Seng index futures were last at 25,922, compared with the index’s last close of 25,884.43.

In Australia, S&P/ASX 200‘s futures last traded at 8,858, while the index closed at 8,976.80.

Trump said early Sunday that a planned attack on Iran was cancelled, after Tehran and its regional neighbors made a request to hold off on attacks. The agreement would include the “Immediate, Complete, and Total OPENING OF THE HORMUZ STRAIT, and an end to Iran’s nuclear threat,” Trump said.

—Justina Lee

U.S. equity futures rose to begin trading on Sunday evening.

Futures tied to the Dow Jones Industrial Average jumped gained 183 points, or 0.3%. S&P 500 futures advanced 0.4% and Nasdaq-100 futures rallied 0.7%.

— Tanaya Macheel