Updated throughout the trading session
Monday began with significant gains for both oil prices and European natural gas prices, providing a boost to the Oslo Stock Exchange. Oil and shipping stocks rose, while airline shares, including Norwegian, declined.
European stock markets fell as higher gas and electricity costs pose challenges for industries.
Following the U.S. And Israeli strikes against Iran, Latest York markets opened lower on Monday.
Here’s a look at how key indexes performed:
- S&P 500 rose 0.04 percent
- Nasdaq Composite ended up 0.36 percent
- Dow Jones fell 0.15 percent
As well Read
Tanker Market Sees Huge Jump: “Never Seen Anything Like It”
Wall Street opened lower Monday but reversed course to close higher. According to Nordea Asset Management senior strategist Joachim Bernhardsen, such volatility is not unusual in a geopolitical climate.
“You always have to ask yourself in these situations: How will this affect companies?” Bernhardsen said to E24. “The U.S. Is among the regions least dependent on oil, with significant domestic production. There’s a good reason Europe fell more than the U.S. Today.”
senior strategist, Nordea Asset Management
He noted the market had largely stabilized after its initial reaction.
“I think investors are stepping back and concluding that this might not be as bad as initially feared. And then there’s Trump to consider; there’s an expectation that things will turn around eventually.”
He cautioned, however, that the situation could worsen.
“If a full blockade of the Strait of Hormuz occurs, that would also negatively impact the U.S. Eventually.”
Technology Stocks Lift Market
Concerns surrounding the implications of increased artificial intelligence (AI) use have recently weighed on the U.S. Stock market. Prior to the open, Joachim Bernhardsen stated they had also been anticipating a surge in the technology sector.
The broad S&P 500 index is barely up so far this year.
Among individual stocks, Nvidia (up 2.96 percent), Meta (up 0.83 percent), and Microsoft (up 1.48 percent) stood out positively.
“We’ve been waiting for a bit of a rebound in technology. Many of these companies have fallen significantly earlier this year, and valuations have approach down,” Bernhardsen said.
He pointed out that earnings have remained strong.
“The share prices have fallen considerably, while earnings are rising nicely. When you can buy Microsoft at around 22 times earnings, it doesn’t look so bad. To me, it seems like the stocks are starting to look attractive after the decline we’ve seen in the first few months.”
Also Read
Why the Strait of Hormuz is Critical
