US markets today: Nvidia and AI stocks lift Wall Street even as most shares decline; Dow dips, S&P 500 nears record high

Wall Street traded mixed on Monday, with major technology stocks once again steering the market higher even as most other sectors struggled. The S&P 500 added 0.4% in early trading, inching close to its record high set last week. The tech-heavy Nasdaq composite climbed 0.9%, while the Dow Jones Industrial Average slipped 34 points, or 0.1%, at 9:35 a.m. Eastern time.Chipmaker Nvidia surged 2.7%, remaining the biggest driver behind the S&P 500’s gains this year amid the ongoing artificial intelligence boom. The company’s relentless rally has come to symbolise investor enthusiasm for AI-linked businesses, a trend that continued to dominate Wall Street sentiment, AP reported.Microsoft rose 0.8% after signing a $9.7 billion cloud services deal with AI infrastructure firm IREN, giving it access to Nvidia’s advanced chips. The five-year contract includes a 20% prepayment and aims to bolster Microsoft’s capacity to meet soaring AI demand. IREN shares jumped 18.8% on the announcement.Palantir Technologies, one of the year’s standout AI winners, gained another 2% ahead of its quarterly results due later in the day. The data analytics firm’s shares have already risen 165% so far in 2025, underscoring the market’s appetite for AI growth stories.However, some analysts cautioned that valuations are running hot. “The U.S. market—and AI stocks in particular—are looking increasingly stretched,” one market strategist said, warning that a correction could follow if companies fail to meet lofty earnings expectations.Despite those concerns, corporate results have largely held up. According to FactSet, four out of five S&P 500 companies that have reported so far beat profit estimates, with overall earnings on track to rise nearly 11% from a year ago.Among other major movers, Kenvue shares surged 15.9% after Kimberly-Clark agreed to buy the consumer health products maker—behind Tylenol, Band-Aids and Listerine—for $48.7 billion in a cash-and-stock deal. Kimberly-Clark shares dropped 12.1% on the news.Beyond Meat fell 11.7% after delaying its quarterly earnings report to November 11, citing the need for more time to assess a potential non-cash charge related to previously disclosed asset issues. The company’s shares have been volatile, recently spiking nearly 600% in three days during a “meme stock” frenzy before tumbling again.Berkshire Hathaway, led by veteran investor Warren Buffett, slipped 0.2% after reporting one of its final sets of results under Buffett’s leadership. The 95-year-old billionaire is set to step down as CEO in January.Global cues mixed; South Korea leads gainsEuropean markets traded mixed, while Asian equities posted a stronger finish. South Korea’s Kospi jumped 2.8% to a record high, fuelled by an 11% surge in SK Hynix, which is partnering with Nvidia to build the nation’s AI capabilities. Shipbuilders also gained after China said it would remove additional port fees on U.S.-linked vessels following a meeting between President Donald Trump and Chinese leader Xi Jinping.In the bond market, the 10-year U.S. Treasury yield held steady at 4.11%, after Federal Reserve Chair Jerome Powell warned investors last week against assuming another rate cut in December.