US open: Stocks higher as Trump calls off fresh Iran strikes

(Sharecast News) - Major indices were in the green early on Monday after Donald Trump called off planned strikes against Iran, easing concerns over further escalation and dragging oil prices lower.

As of 1510 BST, the Dow Industrial Average was up 1.10% at 53,063.13, while the S&P 500 advanced 0.68% to 7,540.89 and the Nasdaq Composite came out of the gate 0.86% former at 25,592.78.

The Dow opened 578.10 points higher on Monday, extending gains recorded in the previous session as the blue-chip index wrapped up a volatile week on a positive note.

Comments from Donald Trump were in focus early on Monday, with the president announcing he had cancelled attacks on Iran and that talks between Washington and Tehran would resume on Monday. Reports late last week suggested the White House had been preparing a fresh round of strikes as hopes for a negotiated end to the conflict faded and energy prices spiked.

Crude prices dropped sharply in response, with Brent falling 5.36% to $83.22 a barrel, while West Texas Intermediate slid 6.72% to $78.98. Treasury yields also retreated as inflation worries eased slightly, with the benchmark 10year note around four an a half basis points lower at 4.694%.

On the macro front, S&P Global's US manufacturing purchasing managers index was revised up to 53.9 for July, slightly ahead of a preliminary reading of 53.8, matching June's level and marking a twelfth straight month of improving operating conditions. Output growth eased to its weakest pace since March and new orders rose at a slower rate for the third month running, while export demand continued to fall amid tariff pressures and subdued overseas markets. Input cost inflation eased to a fourmonth low but remained elevated due to higher energy prices and tariffs, prompting businesses to continue raising selling prices.

Elsewhere, the US manufacturing sector accelerated in July, with the Institute for Supply Management's PMI rising to 55.6 from 53.3 in June for its strongest reading since May 2022 - pointing to a twentyfirst straight month of expansion. The survey showed broad improvement across key components, with new orders increasing for a seventh month to 56.7, production jumping to 58.5, its highest since late 2021, and employment moving back into growth territory at 52.8% for the first time in almost three years. Backlogs also strengthened, rising to 55%.

Supplier delivery times continued to lengthen, with the index at 58.9%, reflecting ongoing supply chain strain. Inventories were little changed at 51.2%, while customers' inventories fell further to 40.7%, a level typically seen as supportive for future output. Export orders returned to expansion at 53%, and imports rose to 55.7%. Overall, four of the five main subindexes strengthened, underscoring the fastest pace of manufacturing growth in more than four years.

In the corporate space, Loews posted secondquarter net income of $444m on Monday, up from $391m a year earlier, driven by stronger contributions from CNA Financial, Boardwalk Pipelines and Loews Hotels, while book value per share rose to $93.52.

Still to come, Palantir will report earnings after the close.

Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Microsoft Corp. (MSFT) $490.48 7.29%

Salesforce.Com Inc. (CRM) $193.50 5.11%

Boeing Co. (BA) $225.29 3.87%

Walt Disney Co. (DIS) $98.94 2.86%

Nike Inc. (NKE) $42.86 2.67%

Home Depot Inc. (HD) $340.50 2.50%

American Express Co. (AXP) $343.68 2.04%

Apple Inc. (AAPL) $307.99 1.66%

Verizon Communications Inc. (VZ) $47.47 1.55%

Procter & Gamble Co. (PG) $147.04 1.51%

Dow Jones - Fallers

Intel Corp. (INTC) $86.87 -11.20%

Johnson & Johnson (JNJ) $251.63 -1.24%

Dow Chemical Co. (DOW) $29.83 -1.22%

Chevron Corp. (CVX) $194.32 -1.22%

Cisco Systems Inc. (CSCO) $114.49 -1.20%

Merck & Co. Inc. (MRK) $127.78 -1.16%

Goldman Sachs Group Inc. (GS) $1,010.76 -1.02%

Unitedhealth Group Inc. (UNH) $414.18 -0.14%

Caterpillar Inc. (CAT) $814.51 -0.08%

Coca-Cola Co. (KO) $87.46 -0.05%

S&P 500 - Risers

Alphabet Inc. Class C (GOOG) $373.89 9.30%

Alphabet Inc. Class A (GOOGL) $373.77 9.09%

Cognizant Technology Solutions Corp. (CTSH) $57.11 8.86%

Adobe Systems Inc. (ADBE) $260.87 7.45%

VeriSign Inc. (VRSN) $301.92 7.45%

Intuit Inc. (INTU) $329.35 7.31%

Microsoft Corp. (MSFT) $490.48 7.29%

Amazon.Com Inc. (AMZN) $285.15 7.15%

LKQ Corporation (LKQ) $23.47 6.97%

Mohawk Inds Inc. (MHK) $131.30 6.53%

S&P 500 - Fallers

Micron Technology Inc. (MU) $783.36 -15.74%

Seagate Technology Plc (STX) $795.02 -12.97%

Lam Research Corp. (LRCX) $280.00 -11.85%

Intel Corp. (INTC) $86.87 -11.20%

Western Digital Corp. (WDC) $510.35 -10.99%

Advanced Micro Devices Inc. (AMD) $462.15 -10.30%

Coterra Energy Inc. (CTRA) $32.56 -8.62%

Applied Materials Inc. (AMAT) $494.33 -7.49%

Marriott International - Class A (MAR) $349.51 -6.94%

KLA-Tencor Corp. (KLAC) $176.56 -6.58%

Nasdaq 100 - Risers

Workday, Inc. (WDAY) $169.15 10.81%

Alphabet Inc. Class C (GOOG) $373.93 9.30%

Alphabet Inc. Class A (GOOGL) $374.03 9.09%

Cognizant Technology Solutions Corp. (CTSH) $57.10 8.86%

Adobe Systems Inc. (ADBE) $260.66 7.45%

Intuit Inc. (INTU) $329.23 7.31%

Microsoft Corp. (MSFT) $490.51 7.29%

Amazon.Com Inc. (AMZN) $285.26 7.15%

Comcast Corp. (CMCSA) $24.86 6.31%

Meta Platforms Inc. (META) $593.86 5.86%

Nasdaq 100 - Fallers

Micron Technology Inc. (MU) $785.39 -15.74%

Qvc Group Inc Series A (QVCGA) $0.34 -13.49%

Seagate Technology Plc (STX) $796.60 -12.97%

Lam Research Corp. (LRCX) $281.99 -11.85%

Intel Corp. (INTC) $87.25 -11.20%

Western Digital Corp. (WDC) $511.75 -10.99%

Applied Materials Inc. (AMAT) $497.21 -7.49%

Marriott International - Class A (MAR) $349.80 -6.94%

KLA-Tencor Corp. (KLAC) $177.22 -6.58%

Texas Instruments Inc (TXN) $265.71 -6.05%