The S&P 500 and Nasdaq reached record closing highs on Monday, capping their best quarter in over a year as hopes for trade deals and possible rate cuts eased investor uncertainty.

Both indexes ended the quarter with double-digit gains. The S&P 500 gained 10.57% during the period, the Nasdaq rose 17.75%, and the Dow climbed 4.98%. The Russell 2000 Small Cap index rose 8.28% in the quarter.

Market Snapshot

The Dow Jones Industrial Average rose 275.50 points, or 0.63%, to 44,094.77, the S&P 500 gained 31.88 points, or 0.52%, to 6,204.95 and the Nasdaq Composite gained 96.28 points, or 0.47%, to 20,369.73.

Market Movers

Apple - Apple is weighing using artificial intelligence technology from Anthropic or OpenAI to power a new version of Siri, instead of its own in-house models, Bloomberg News reported on Monday. Shares of the iPhone maker, which had traded down earlier in the session, closed 2% higher on Monday.

Tesla - Shares of electric-vehicle maker Tesla fell 1.8% after closing down 0.7% on Friday. The Senate bill would end tax credits for the purchase of EVs after September, quicker than the House proposal's call for eliminating them by the end of the year for most vehicles. Tesla CEO Elon Musk slammed the legislation as Republicans narrowly advanced the measure in a 51-49 weekend vote.

Palantir - Palantir stock climbed 4.3%. The data-analytics company ended Friday's session as the worst stock in the S&P 500, falling 9.4%. Even with the sharp drop, Palantir stock remains up 73% this year.

Oracle - Oracle rose 4% to $218.63. In a regulatory filing, Oracle said CEO Safra Catz plans to tell the company's employees today that the software company "signed multiple large cloud services agreements including one that is expected to contribute more than $30 billion in annual revenue starting in FY28." The company has emerged as the third-party cloud provider of choice for companies such as Nvidia.

Juniper Networks, Hewlett Packard Enterprise - Juniper Networks jumped 8.5% after the Justice Department settled a lawsuit challenging Hewlett Packard Enterprise's $14 billion acquisition of the provider of wireless networking solutions. As part of the settlement, HPE will have to divest its global Instant On campus and branch business. A trial was scheduled to begin July 9. Shares of HPE climbed 11.1%.

GMS, QXO, Home Depot - Shares of GMS surged 11.7% to $108.75 after the building-products supplier entered into a definitive agreement to be acquired by Home Depot. The retailer's subsidiary, SRS Distribution, has offered to buy GMS for $110 a share, or roughly $4.3 billion. Including debt, the deal is valued at $5.5 billion. Home Depot's deal tops a rival bid for GMS by QXO, a construction-supplies company, that was made earlier this month. QXO rose 3.9% while Home Depot declined 0.6%.

Clean Energy Stocks - Enphase Energy and other clean energy stocks were falling. The U.S. Senate's latest version of the tax-and-spending megabill will phase out tax credits for large-scale wind and solar projects by the end of 2027--earlier than in previous drafts. The latest version also includes a surprise new tax on projects that use supplies from China, the world's biggest source of renewable energy equipment. The tax would apply to all projects completed after Dec. 31, 2027. Enphase was down 3%. Renewable energy developers NextEra Energy and AES also traded lower, slipping 2.1% and 1.9%, respectively.

First Solar, Sunrun - Conversely, First Solar, the largest U.S. solar manufacturer, was up 8.8%, while Sunrun, the largest residential solar developer, was up 10%. Baird analyst Ben Kallo said the tax on Chinese components was "good for domestic producers" like First Solar. As for Sunrun, while the Senate bill limits its ability to receive tax credits for leasing panels to homeowners, it leaves the door open for the company to get credits for a similar product known as a power purchase agreement.

Nvidia - Nvidia was up 0.2% after wavering throughout the session. The chip firm's shares had already closed at a record high on Friday, rising 1.8% to $157.75. Also on Friday, Nvidia market capitalization reached $3.8 trillion, making it the most valuable company in the U.S., and putting it on course to become the world's first company to reach $4 trillion.

Big Bank Stocks - Wells Fargo stock rose 0.8%, JPMorgan Chase stock gained 1%, and Goldman Sachs stock was up 2.5% after the results of the Federal Reserve's annual stress tests indicated the largest U.S. lenders were well-positioned to withstand a severe economic downturn. The outcome suggests banks will announce plans to distribute more capital to shareholders in the coming days.

Robinhood - Robinhood gained 12.8%. Shares of the cryptocurrency exchange hit an all-time intraday high of $93.36 on Monday after Robinhood unveiled a slate of new products including "tokens" that will allow customers in the European Union to trade U.S.-listed stocks and exchange-traded funds.

Market News

Trump Hammers Powell Again as Bessent Mulls Fed Power Transition Timeline

President Donald Trump on Monday continued hammering at the U.S. Federal Reserve to ease monetary policy, sending Fed Chair Jerome Powell a list of central bank interest rates around the world adorned with handwritten commentary saying the U.S. rate should be between Japan's 0.5% and Denmark's 1.75%, and telling him he was "as usual, 'too late.'"

"You should lower the rate by a lot. Hundreds of billions being lost," Trump said in the note, which was also posted to social media with further commentary from the president saying that being a central banker in the U.S. was "one of the easiest, yet most prestigious jobs in America, and they have FAILED...We should be paying 1% interest, or better!"

A 1% policy rate in the past in the U.S. has been associated with weak, even recessionary economic growth rates and periods of low inflation.

US, Canada to Resume Trade Talks After Ottawa Drops Digital Tax

The United States will resume trade negotiations with Canada immediately after Ottawa scrapped its digital services tax targeting U.S. technology firms, White House economic adviser Kevin Hassett said on Monday.

"Absolutely," Hassett said on Fox News Channel when asked about the talks restarting.

White House press secretary Karoline Leavitt told reporters that Canadian Prime Minister Mark Carney called U.S. President Donald Trump on Sunday evening to tell him the tax was being dropped, calling it a big victory for U.S. tech companies.