Wall Street Rises as Tech Stocks Rebound Amid Market Uncertainty

Published: September-30-2025, 09:30 EDT

U.S. stocks edged higher on Monday, led by gains in major technology companies, while energy shares declined on weaker oil prices. Investors are closely watching upcoming U.S. employment data and political developments in Washington that could affect market stability.

Tech Stocks Lead Market Recovery

The S&P 500 rose 0.3%, the Dow Jones Industrial Average gained 68 points (0.1%), and the Nasdaq composite advanced 0.5%. All three indexes remain near record highs set just last week.

Big technology firms were central to the market’s modest climb. Amazon recovered 1.1% following a sharp 5.1% loss last week, while Microsoft added 0.6% after a 1.2% decline. Despite relatively small moves, their outsized market value gave them strong influence on the broader S&P 500.

Oil Sector Faces Pressure

In contrast, energy companies weighed on the indexes as crude oil prices fell more than 3%. Concerns about potential production increases from OPEC+ nations added pressure to the sector. Exxon Mobil shares dropped 2.6%, and Chevron declined 2.5%, becoming some of the heaviest drags on the S&P 500.

Focus Turns to Jobs Report and Federal Reserve Policy

The key event of the week will be Friday’s release of U.S. employment figures for September. Analysts expect the data to influence Federal Reserve decisions on interest rates.

The Fed implemented its first rate cut of the year earlier this month and has signaled plans for additional reductions through 2026. Investors are betting on lower rates to sustain market momentum, with cheaper borrowing costs often supporting job growth and equity valuations.

However, stronger-than-expected jobs data could discourage further cuts, potentially cooling the stock rally. On the other hand, weaker figures might raise recession fears, creating another risk for investors.

Potential Government Shutdown Looms

Markets are also monitoring political negotiations as the United States approaches a federal funding deadline. Past government shutdowns have typically had limited economic effects, but this time delays in collecting and releasing key economic data could heighten market uncertainty.

“This shutdown may also be different because the White House may push for large-scale firings of federal workers,” analysts at Wells Fargo Investment Institute noted. “We believe that a shutdown will have only a small and transitory economic impact, but it may spur some financial market volatility,” said Jennifer Timmerman, investment strategy analyst at Wells Fargo.

Major Corporate Developments

Several high-profile corporate moves added to market activity:

• Electronic Arts Buyout: Shares of Electronic Arts jumped 4.5% after confirming it will be taken private in a record-setting $55 billion all-cash deal. Investors will receive $210 per share under the agreement, marking one of the largest private buyouts in history.

• CSX Leadership Change: Railroad operator CSX gained 5.4% after appointing Steve Angel, former CEO of Linde and Praxair, as its new chief executive. Angel succeeds Joe Hinrichs, who also stepped down from the company’s board.

• Cannabis Sector Surge: Marijuana-related companies saw sharp gains following a social media post by former President Donald Trump, who called hemp-derived CBD a “game changer” for seniors. Tilray Brands soared nearly 61%, while Canopy Growth rose 17% on the Toronto Stock Exchange.

Global Markets Show Mixed Results

International markets delivered mixed performances. London’s FTSE 100 rose 0.2%, supported by pharmaceutical giant GSK’s 2.2% climb after CEO Emma Walmsley announced she would step down at year’s end. Luke Miels, GSK’s current chief commercial officer, will take over the leadership role.

In Asia, Hong Kong’s Hang Seng Index jumped 1.9%, while Japan’s Nikkei 225 slipped 0.7%.

Commodity and Bond Markets

Oil prices extended their decline, dropping more than 3% as oversupply concerns grew. Analysts cited reports suggesting OPEC+ members may lift production limits next month, adding downward pressure on global crude markets.

Meanwhile, gold continued its record-setting rally, surpassing $3,850 per ounce. Investors have flocked to the precious metal amid expectations for interest rate cuts, ongoing inflation concerns, and rising global debt levels.

In the bond market, the yield on the 10-year U.S. Treasury note eased to 4.14% from 4.20% at the end of last week, reflecting steady demand for safe-haven assets.