US stocks edge higher as gold surges to new record, dollar weakens

NEW YORK (JN) – U.S. stocks finished modestly higher on Monday, recovering losses from the previous week, even as sharper moves unfolded across commodities and currencies. Gold prices surged to a fresh all-time high, while the U.S. dollar extended its recent slide, underscoring investor unease over trade tensions, inflation pressures, and global political risk.

The divergent market moves highlighted a familiar late-cycle dynamic: equities holding steady on corporate earnings strength, while investors simultaneously seek safety in hard assets. With a Federal Reserve decision and major technology earnings still ahead this week, financial markets remained alert rather than exuberant.

Wall Street’s gains came as several individual stocks posted outsized moves, but broader trading was subdued compared with the volatility seen in precious metals and foreign exchange.

US stock indexes regain ground

The S&P 500 rose 0.5% on Monday, recouping last week’s dip. The Dow Jones Industrial Average added 313 points, or 0.6%, while the Nasdaq composite gained 0.4%, according to market data.

Energy technology firm Baker Hughes was among the session’s strongest performers, climbing 4.4% after reporting quarterly profit that exceeded analysts’ expectations. The company cited strong demand momentum for liquefied natural gas as a key driver, reflecting continued global investment in energy infrastructure.

In the technology sector, CoreWeave advanced 5.7% after Nvidia disclosed a $2 billion investment in the company. Nvidia said the funding would help accelerate the buildout of CoreWeave’s artificial intelligence data centers, which rely on Nvidia chips, through 2030. Nvidia’s own shares slipped 0.6%.

USA Rare Earth jumped 7.9% after announcing that the U.S. government had agreed to provide $277 million in federal funding to support domestic production of heavy rare earth minerals and magnets. The company also said the Trump administration had backed a proposed $1.3 billion loan, while it separately raised $1.5 billion from private investors.

Other sectors saw more muted activity. Airline stocks were mixed as carriers dealt with the aftermath of a winter storm that forced thousands of flight cancellations across the United States over the weekend. Delta Air Lines fell 0.7%, while Southwest Airlines rose 0.2%.

By the close, the S&P 500 had gained 34.62 points to 6,950.23. The Dow finished at 49,412.40, up 313.69 points, and the Nasdaq composite added 100.11 points to 23,601.36.

Gold prices break above $5,100 an ounce

The most dramatic moves of the day occurred outside the equity market. Gold prices climbed another 2.1%, briefly topping $5,100 per ounce for the first time on record. Silver surged even more sharply, settling 14% higher.

The rally in precious metals has been driven by demand for perceived safe-haven assets, as investors weigh persistent inflation, rising government debt levels, geopolitical tensions, and renewed trade uncertainty. Analysts have noted that gold has increasingly benefited from a weaker dollar and concerns about the long-term stability of fiat currencies.

Tariff risks added to those concerns on Monday after President Donald Trump reiterated a threat to impose a 100% tariff on Canadian goods if Canada were to sign a free trade agreement with China. The comments added to a growing list of trade-related flashpoints that have unsettled global markets in recent weeks.

Dollar slides as yen strengthens

The U.S. dollar continued to weaken against major currencies, extending a recent downward trend. Market participants pointed to several factors behind the move, including shifting expectations for central bank policy and concerns over U.S. trade strategy.

The Japanese yen strengthened sharply, driven by speculation that officials in both Japan and the United States could intervene to support the currency. A stronger yen typically weighs on Japan’s export-heavy companies, and the move was reflected in equity markets. Japan’s Nikkei 225 index fell 1.8%, one of the largest declines among major global benchmarks, while Toyota Motor dropped 4.1%.

Earlier dollar weakness had been linked to U.S. tariff rhetoric related to Greenland, which prompted some global investors to reduce exposure to U.S. assets. Currency traders said the latest moves underscored how sensitive exchange rates have become to political signals as well as economic data.

Markets brace for Fed decision and earnings

Investors are now looking ahead to a busy week that could set the tone for markets in the near term. The Federal Reserve is scheduled to announce its latest interest rate decision on Wednesday.

The central bank has been gradually lowering its benchmark rate and has indicated that additional cuts may be possible in 2026 to support the labor market and stimulate economic growth. Most economists, however, expect the Fed to leave rates unchanged this week, citing inflation that remains above the Fed’s 2% target.

Market attention is likely to focus on comments from Fed Chair Jerome Powell following the decision, as investors look for clues about the timing and pace of any future easing.

Corporate earnings will also remain in focus. Several of Wall Street’s most influential technology companies are set to report results, including Meta Platforms, Microsoft, and Tesla on Wednesday, followed by Apple on Thursday. Their outlooks could influence broader market sentiment, particularly in growth-oriented sectors.

Bonds and global markets

In the bond market, U.S. Treasury yields edged lower. The yield on the 10-year Treasury note eased to 4.21%, down from 4.24% late Friday, reflecting steady demand for government debt amid ongoing uncertainty.

Stock markets abroad were mixed. European indexes posted mostly modest movements, while Asian markets showed wider variation. The combination of currency swings, commodity volatility, and looming policy decisions kept global investors cautious at the start of the week.