MARKET SNAPSHOT

U.S. stocks rallied as the record-long government shutdown appeared to be nearing an end. Treasury yields ended higher as Congress moved towards a potential deal, while the dollar was little changed. Gold and oil futures also settled higher.

MARKET WRAPS

EQUITIES

Reports that Congress was closing in on a deal to reopen the government sparked a rally in tech stocks and other riskier trades, and gave investors hope that federal officials would soon roll out key economic-data reports that had been suspended by the shutdown.

The Senate cleared a key hurdle late Sunday after Democrats provided just enough votes to advance a measure designed to end the impasse. The Senate's next big step will be to send the measure back to the Republican-led House.

Concerns over tech earnings, valuations and the economy weighed heavily on the market last week. Some of the hardest-hit sectors and stocks were among the best performers Monday, showcasing the resilience of the three-year-old AI-fueled bull market.

"It's a tech and AI recovery day," said Louis Navellier, founder of investment firm Navellier & Associates. "The apparent overvaluation concerns of AI names have been reversed in a big way."

The Nasdaq Composite Index rebounded from its worst week since April to close Monday up 2.3%. The S&P 500 was 1.5% higher, while the Dow Jones Industrial Average added 0.8%, or 381 points.

Asian shares ended their trading sessions mostly higher, tracking U.S. moves, with technology, energy, and financial stocks among the key gainers.

China's benchmark Shanghai Composite climbed 0.5% partly supported by data showing that China's downward price pressures further eased in October. The Shenzhen Composite rose 0.4%, while the ChiNext Price Index fell 0.9%.

Hong Kong's Hang Seng climbed 1.6%.

Japan's Nikkei closed up 1.3%.

In Australia, the S&P/ASX 200 Benchmark Index rose 0.8%.

Stocks in New Zealand also gained, with the S&P/NZX 50 Index rising 0.1%.

COMMODITIES

Oil futures also settled higher as news of progress toward an end of the U.S. government shutdown injects some optimism into markets.

The oil complex is "grinding forward on a bifurcated narrative" of tight product supplies against "what's supposed to be a looser crude market," Neil Crosby of Sparta Commodities said in a note.

Recent U.S. data are undermining the crude excess story, with even last week's big stock build in line with seasonal patterns, he said.

"Not painting a truly 'tight' picture, but maybe rumors of the global crude balance's demise were greatly exaggerated."

WTI settled up 0.6% at $60.13 a barrel, and Brent gained 0.7% to $64.06 a barrel.

Gold futures jumped as the potential of an end to the government shutdown would allow government data to resume its normal release schedule, said Peter Cardillo of Spartan Capital Securities.

This potentially allows for the Federal Reserve to follow through with another rate cut in December.

"Once the government reopens, the flow of back macro data will likely suggest inflation is still very sticky and the labor market weaker than the ADP is suggesting," Cardillo said. "These two factors will likely push the Fed for a rate cut in December, despite their repeated cautious rhetoric."

Front month gold settled up 2.8% to $4,111.80 per troy ounce.

TODAY'S TOP HEADLINES

Fed's Miran Pushes Another Rate Cut. A Smaller Move Could Be Enough.

Federal Reserve governor Stephen Miran said Monday he could support a quarter percentage-point rate cut at the Fed's December meeting, even though he continues to see a stronger case for a half-point move.

"Nothing is certain. We could get data that would make me change my mind between now and then," he said in an interview on CNBC. "But failing new information that makes me update my forecasts...I would think that [half a point of cuts] is appropriate, as I have in the past, but at a minimum [a quarter point.]"

Miran, a recent Trump appointee and White House official, dissented at the past two policy meetings, favoring a larger cut while the committee reduced rates by a quarter-point each time. His comments on Monday suggest he could support the same size move next month if the economic outlook hasn't meaningfully changed.

Democrats Fume Over Deal to End Government Shutdown

WASHINGTON-The decision by eight members of the Senate Democratic caucus to side with Republicans on a bill ending the government shutdown drew heated condemnations from other members of the party and reopened longstanding divisions on how best to fight back against President Trump.

The vote to advance the measure also put new scrutiny on the leadership of Senate Minority Leader Chuck Schumer (D., N.Y.), with left-leaning critics saying the defections showed he couldn't keep his troops in line.

Democrats were coming off strong election wins this past Tuesday, and many lawmakers and activists said the results showed that Senate Democrats should continue to hold the line on their demands for extending enhanced Affordable Care Act subsidies. But the small group of defectors reasoned Sunday that the shutdown had caused too much pain and that the modest concessions from Republicans, including a pledge to hold a vote on healthcare, were enough.

Paramount Stock Climbs as Forecast Beats Estimates

Paramount Skydance stock was rising after the entertainment media company provided a better-than-expected outlook.

Paramount said it expects fourth-quarter revenue to be between $8.1 billion to $8.3 billion, which is above Wall Street's estimates of $7.84 billion, according to FactSet. Revenue for 2026 is expected to be $30 billion, which is higher than analysts' expectations for $29.6 billion.

Shares were rising 2.6% to $15.65 in after-hours trading following the results.

Occidental Petroleum Profit Falls as Oil and Gas Sales Decline

Occidental Petroleum logged lower profit in its latest quarter as sales fell in its oil-and-gas business.

The oil-and-gas producer on Monday posted a profit of $661 million, or 65 cents a share, compared with $964 million, or 98 cents a share, a year earlier.

Adjusted earnings per share were 64 cents, ahead of estimates of 51 cents a share according to analysts polled by FactSet.

CoreWeave Reports Strong Revenue. The Stock Is Rising.

CoreWeave reported better-than-expected revenue results Monday afternoon. Its shares were rising in after-hours trading.

The company reported an adjusted earnings per share loss of 22 cents for the September quarter, compared to Wall Street's consensus estimate for a loss of 40 cent, according to FactSet.

Revenue came in at $1.36 billion, which was above analysts' expectations of $1.29 billion.

The Credit-Card Rule That Powers Rewards Cards Just Got Broken

Premium credit-card users are in for a big surprise: Their JPMorgan Chase Sapphire Reserve, and many other rewards cards, could soon be rejected by merchants.

A settlement between Visa, Mastercard and merchants over a 20-year legal battle is crossing for the first time a red line for the credit-card industry by breaking the networks' rule that forces a store that accepts one Visa credit card to accept all Visa credit cards. The deal was announced Monday, confirming an earlier report in The Wall Street Journal.

No longer would merchants have to "honor all cards," instead they can reject credit cards that charge merchants bigger fees for each transaction, a concession Visa, Mastercard and banks have balked at for ages. Big merchants have fought for many years to break the rule, making the settlement at least a big symbolic win, but they will still lack the total freedom to choose which cards they accept, leaving the real-life impact unclear.

Berkshire's Buffett Plans to Keep Class A Shares Until Successor Wins Over Investors

Berkshire Hathaway's Warren Buffett wrote that he will keep a "significant amount" of the company's Class A stock until his fellow shareholders grow comfortable with his successor as CEO, Greg Abel.

"That level of confidence shouldn't take long," Buffett wrote Monday in a letter to his three children and shareholders. "My children are already 100% behind Greg as are the Berkshire directors."

Buffett, 95 years old, surprised the investing world at Berkshire's annual shareholder meeting in May when he announced that Abel would take over as chief executive officer at year's end. Berkshire has said Buffett would remain chairman. The company's shares have since slumped, with some attributing the declines to a shrinking "Buffett premium"-the higher price investors are willing to pay to own Berkshire's stock, thanks to the chairman's presence.