FX.co ★ US Stocks Cautious to Kick Off the Week

U.S. stocks hovered around record highs on Monday, reflecting a mixed start to a week anticipated to be heavy with geopolitical developments and crucial economic data. According to a Financial Times report, Nvidia and AMD have consented to allocate 15% of their revenues from chip sales to China to the U.S. government in return for export licenses. Consequently, Nvidia's stock edged down by 0.9%, and AMD saw a nearly 1.6% decrease. Focus also remained on ongoing trade discussions between the U.S. and China, with a general expectation of a 90-day extension to facilitate further dialogue. The forthcoming Consumer Price Index (CPI) report is highly anticipated as it is expected to offer insights into current inflation trends and the effects of tariffs. While inflationary pressures are predicted to remain robust, the market continues to anticipate two 25 basis point rate reductions by the Federal Reserve this year. Among notable stock movements, Apple declined by 1.4% despite its strongest weekly gain in over five years, during which it climbed over 13%. Microsoft saw a slight decrease of 0.1%, Amazon slipped 0.3%, and Alphabet's shares fell by 0.7%. In contrast, Meta experienced a modest increase of 0.2%, and Tesla advanced significantly by 3.2%. Micron Technology's share price surged by more than 5% following an upward revision of its revenue forecast.