Wall Street opened the holiday-shortened week with a broad rally Monday after the U.S. Supreme Court held that Federal Reserve Governor Lisa Cook would remain in her job for now, rejecting the Trump administration’s attempt to remove her, and after Alphabet made its debut in the Dow Jones Industrial Average. The blue-chip index, maintained by S&P Dow Jones Indices, rose 306.63 points, or 0.59%, to a record close of 52,182.74 — its first finish ever above 52,000.

The gains were even stronger among technology stocks. The Nasdaq Composite jumped 2.07% to 25,820.14, while the S&P 500 climbed 1.18% to 7,440.43. Both indexes rebounded after ending last week with sharp losses. The small-cap Russell 2000 was little changed, edging slightly higher.

Two major forces drove Monday’s rally. The first was the Supreme Court ruling, which eased investor concerns about political interference at the Federal Reserve as markets look ahead to this week’s closely watched employment report. The second was a relief rally in large technology companies after last week’s selloff tied to concerns over the growing costs of the artificial-intelligence buildout. A calmer tone in the Middle East also supported sentiment. Reports indicated the United States and Iran were standing down for now, with new talks scheduled for Tuesday in Qatar despite weekend strikes that briefly tested the truce.

Market movers

The day’s biggest story inside the Dow was Alphabet, which climbed nearly 5% during its first session as a member of the index. The company replaced Verizon, whose shares fell more than 5% after leaving the benchmark.

Comcast gained 4.4% after announcing plans to separate its media and technology businesses into two publicly traded companies.

Among the major technology companies, Tesla surged about 8%, Amazon gained 3.2%, and Meta Platforms rose 2.2%.

Semiconductor stocks staged a strong recovery following last week’s sharp decline. The VanEck Semiconductor ETF climbed more than 3%, led by Astera Labs, which jumped about 16%, KLA, up roughly 12%, and Applied Materials, which gained nearly 11%.

The sector also received support after UBS raised its price target on Marvell Technology to $340 from $230, implying roughly 27.5% upside. Analyst Timothy Arcuri cited Marvell’s leadership in Compute Express Link (CXL) technology, which helps connect memory and processors inside AI data centers.

Space companies also rallied sharply. Rocket Lab climbed about 16% after agreeing to acquire satellite operator Iridium in an $8 billion deal. Iridium shares surged roughly 25%, while other space-related companies including Viasat, Satellogic, and Planet Labs posted double-digit gains.

Not every stock participated in the rally. Super Micro Computer fell nearly 6% after reports that authorities in Taiwan searched the company’s headquarters as part of a chip-smuggling investigation.

Meanwhile, Owens Corning jumped about 14% following a Wall Street Journal report that Carlisle Companies made an unsolicited acquisition offer. Carlisle shares declined more than 5%.

Commodities and volatility

Oil prices moved higher as traders continued monitoring developments in the Middle East. Brent crude gained about 1.4%, recovering some of last week’s losses as commercial shipping continued moving through the Strait of Hormuz without major disruption.

Treasury yields remained near recent lows as investors focused on Thursday’s June employment report, which could influence expectations for future interest-rate decisions by the Federal Reserve under Chair Kevin Warsh. Market volatility eased as equities recovered throughout the session.

Although this is a shortened trading week, several major events remain ahead. The June jobs report will be released on Thursday, one day earlier than usual because U.S. markets will be closed Friday for the Fourth of July holiday.

Nike reports quarterly earnings after Tuesday’s close, with its shares down 24% for the quarter. Kevin Warsh is also scheduled to speak at a forum in Europe on Wednesday.

Meanwhile, SpaceX, following its June public listing, is scheduled to join the Nasdaq-100 Index before trading begins on July 7.

For now, the Dow’s historic close above 52,000 and the strong rebound in technology shares gave investors a positive start to the holiday-shortened week. Attention now shifts to Thursday’s jobs report, which could quickly reshape expectations for the economy and interest rates.

JBizNews Desk
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