Dow rebounds nearly 600 points and wipes out Friday’s loss, S&P 500 ends four-day losing run

Traders works on the floor of the New York Stock Exchange during morning trading on Aug. 4, 2025.

Angela Weiss | Afp | Getty Images

All the three major averages soared into the green on Monday, with the Dow Jones Industrial Average recouping its losses from Friday’s session.

The blue-chip index climbed 585.06 points, or 1.34%, to finish the day at 44,173.64.

Additionally, the broad market S&P 500 and the tech-heavy Nasdaq Composite rocketed higher by 1.47% and 1.95%, ending at 6,329.94 and 21,053.58, respectively.

— Sean Conlon

DoubleLine Capital CEOJeffrey GundlachsaidMonday his base case remains that the Federal Reserve will cut interest rates twice this year even as the economic data weakened.

The widely followed investors also noted the weakening dollar, which he believes will continue the downtrend. He said the weaker greenback will benefit international markets for dollar-based investors.

“I’m a dollar bear. I think foreign markets for dollar based investors make a lot of sense,” he said. “I think that these non U.S. trends are absolutely wrapped up in place, because the dollar is weakening, and it’s going to continue to weaken as the Fed cuts rates and other countries don’t.”

— Yun Li

Stocks could take more of a hit over the coming weeks from any potentially disappointing economic data, said Chris Senyek of Wolfe Research.

“While market expectations are rising for the Federal Reserve to restart its easing cycle in September, weaker economic data is beginning to worry investors that the central bank is far behind the curve at the same time as tariff induced inflation (whether transitory or not) hits,” the firm’s chief investment strategist wrote. “We believe stocks are now entering a ‘bad news is bad news’ environment with weaker economic data weighing more on performance than the positive vibes from rising expectations of Fed cuts.”

To be sure, Senyek said he believes that the U.S. economy is “holding up better” than the recent weaker-than-expected jobs report would suggest.

— Sean Conlon

During Monday’s trading session, 30 stocks in the S&P 500 hit new 52-week highs.

Names that hit this milestone included:

• AutoZone trading at all-time high levels back to its IPO in April 1991
• DoorDashtrading at levels not seen since November 2021
• eBaytrading at all-time high levels back to its IPO in September 1998
• Dollar Tree trading at levels not seen since June 2024
• L3Harris Technologies trading at all-time high levels back to when Harris Corp began trading in July 1955
• Northrop Grumman trading at all-time highs back to the merger between Northrop Aircraft and Grumman Aerospace in 1994
• Palantir Technologiestrading at all-time highs back to its IPO in September 2020
• NiSourcetrading at all-time highs back through our history to 1984
• American Electric Power trading at all-time highs back through our history to 1972
• Constellation Energytrading at all-time high levels back to its spin-off from Exelon in January 2022

The eight stocks that hit new 52-week lows were:

• Charter Communications trading at lows not seen since May 2024
• Chipotle Mexican Grill trading at lows not seen since November 2023
• Colgate-Palmolivetrading at lows not seen since January 2024
• McCormicktrading at lows not seen since July 2024
• Waterstrading at lows not seen since December 2023
• Fair Isaactrading at lows not seen since June 2024
• Dow Inc trading at all-time lows back to its spin-off from DowDuPont in March 2019.
• LyondellBaselltrading at lows not seen since May 2020

— Christopher Hayes, Lisa Kailai Han

Investors should buckle up as August and September roll around, according to Canaccord Genuity.

In a Monday note, the firm pointed to the historical underperformance of the two months — particularly September, known as “The September Effect.”

“Going back to 1957, the S&P 500 in September has been down on average -0.74% and has shown positive performance only 43% of the time. August on its own is marginally better with an average return of ~0.20%, and Aug-Sep taken together is the worst-performing 2-month sequential combination on the calendar,” the bank wrote.

— Lisa Kailai Han

Berkshire Hathaway fell Monday on the heels of Warren Buffett’s conglomerate posting an operating earnings decrease as it continued to sell stocks and stop buybacks.

Class A and B shares of Berkshire were each last lower by roughly 3% in afternoon trading Monday. Both have still seen a gain of more than 1% this year.

Berkshire Hathaway A and B shares, 1-day

Check out some of the names making moves in midday trading Monday:

• Figma— The design company tumbled 22%, giving back a chunk ofits IPO gainsfrom last week. Figma began trading at the New York Stock Exchange on Thursday, with the stock more than tripling in value on its first day. On Friday, shares gained another 5%.
• Fortrea— The pharma company rallied more than 21% following a Baird upgrade to outperform. “This isn’t about near-term numbers or Q2 or even 2025, this is about the long-term compounding opportunity. We anticipate being here for the long game,” Baird said.
• Idexx Laboratories— The health-care diagnostics company reported second-quarter results that beat expectations, sending shares higher by 26%. Idexx earned $3.63 per share on revenue of $1.11 billion. Analysts polled by FactSet expected a profit of $3.30 per share on revenue of $1.07 billion.

Read here for the full list of stocks.

— Fred Imbert

American Eagle Outfitters shares surged almost 19% after President Donald Trump offered his approval of its controversial campaign with actress Sydney Sweeney.

Advertising featuring the “Euphoria” star has found itself in the middle of a cultural controversy, with critics hounding it as sexist and disconnected from retailer. Trump, however, said in a social media post that he thought it was the “‘HOTTEST’ ad out there.”

Shares had initially surged following the campaign’s announcement in an apparent meme stock rally. But shares pulled back last week as criticism grew. Despite Monday’s pop, the stock is still down more than 23% in 2025.

American Eagle Outfitters, 1-day

Bank stocks could see more moves to the downside in the weeks ahead, according to Bank of America.

“Bank stocks could remain under pressure (in a seasonally weak Aug-Sep period) as the markets debate the health of the US economy following Friday’s weak jobs data,” analyst Ebrahim Poonawala wrote in a note Monday.

This comes after shares of key bank names plummeted during Friday’s session following the latest nonfarm payrolls report, which saw job growth in July come in weaker than expected and the unemployment rate rise. The report also showed steep downward revisions for the months of June and May. JPMorgan fell more than 2% on the heels of the report, while Wells Fargo pulled back more than 3%. Goldman Sachs and Citigroup also declined about 2% each.

“A resilient job market remains key to informing our outlook on credit quality for the sector,” the analyst wrote. “To this end, recent updates from 30+ banks in our coverage, card companies such as Capital One (COF), alternative lenders, credit markets, all suggest that most US businesses and consumers remain in relatively healthy shape. A sharp rise in the unemployment rate could negatively change this view.”

— Sean Conlon

Figma’s blockbuster market debut is showing signs of cracking. Shares of the design software vendor plunged roughly 19% on Monday, with the stock trading at roughly $98.85 per share.

The stock, which made its New York Stock Exchange debuton Thursday, closing at $115.50 for a 250% gain during its IPO day. The company ended the day with a market cap of almost $68 billion, after initially selling shares at $33 in its initial public offering.

— Pia Singh

TheEuropean Unionsaid Monday that it is delaying its retaliatory tariffs on U.S. goods set to take effect this week for six months.

“The EU continues to work with the US to finalise a Joint Statement, as agreed on 27 July,” the EU Commission spokesperson for trade said in a statement.

“With these objectives in mind, the Commission will take the necessary steps to suspend by 6 months the EU’s countermeasures against the US, which were due to enter into force on 7 August.”

— Erin Doherty

With Friday’s market turbulence, it was a busy day for S&P 500 index fund investors.

Investors traded more than 140 million shares of the SPDR S&P 500 ETF Trust (SPY) in the session. That marks the highest daily trading volume since early April, when investors were first responding to President Donald Trump’s evolving tariff policy.

The S&P 500 fell 1.6% in Friday’s session, snapping a 26-day streak without a move of at least 1% in either direction. That had been the longest such streak since October.

Friday’s slide came as traders worried that the disappointing jobs report and President Donald Trump’s tariffs painted a negative economic picture.

— Alex Harring, Adrien van Hauwermeiren

Stocks traded higher on Monday morning.

The S&P 500 rose 0.7% shortly after 9:30 a.m. ET, and the Nasdaq Composite gained 1%. The Dow Jones Industrial Average also advanced 265 points, or 0.6%.

— Sean Conlon

These are the stocks moving the most in premarket trading:

• On Semiconductor— The semiconductor maker dropped 7% after issuing lackluster third quarter guidance of 54 cents to 64 cents per share, while analysts polled by FactSet anticipated 58 cents per share.
• Wayfair— The furniture retailer surged 9.5% after it blew past Wall Street expectations for the second quarter.
• Spotify— Shares gained 4% after Spotify said it would raise the price for its premium individual subscription in several markets.

Read the full list of stocks moving here.

— Lisa Kailai Han

Shares of On Semiconductor fell more than 4% in early trading Monday after the company’s second-quarter results.

The company’s adjusted earnings of 53 cents per share was in line with analyst expectations, per FactSet. Its revenue of $1.47 billion, meanwhile, was above the consensus estimate of $1.45 billion.

For the third quarter, On expects earnings to come in between 54 cents and 64 cents per share on revenue of $1.465 to $1.565 billion, while analysts polled by FactSet had penciled in 58 cents per share and $1.50 billion in revenue.

ON, 1-day

Tyson Foods shares rose more than 4% in premarket trading Monday following the food company’s latest quarterly results.

Tyson Foods posted adjusted earnings of 91 cents per share for its fiscal third quarter, above the 80 cents per share that analysts had expected, according to FactSet. The company’s revenue of $13.88 billion likewise beat the consensus estimate of $13.54 billion. It also raised its revenue guidance for the full year, expecting an increase in production for certain meat products like chicken.

TSN, 1-day

Shares of Wayfair jumped more than 10% in the premarket on Monday after the online furniture retailer’s second-quarter results beat on the top and bottom lines.

Wayfair reported adjusted earnings of 87 cents per share on revenue of $3.27 billion, while analysts polled by FactSet had anticipated 33 cents per share and $3.13 billion in revenue for the quarter.

“The second quarter was a resounding success, defined by accelerating sales and share gain, in tandem with expanding profitability. As we have discussed over the last few years, we can and will grow profitably, while taking significant share in the market,” CEO Niraj Shah said in a statement, adding that the quarter’s 6% year-over-year revenue growth is “the highest growth rate we have seen since early 2021.”

“Our over 6% Adjusted EBITDA margin demonstrates the significant leverage in our model, and as previewed in our investor day two years ago, is just the beginning of what we believe we can achieve over time,” he also said.

W, 1-day

Shares have soared nearly 94% in the last three months, far outpacing the S&P 500’s growth of almost 10% in that timeframe.

— Sean Conlon

Berkshire Hathaway on Saturday reported a year-over-year decline in operating earnings as the Warren Buffett-led conglomerate warned of the impact from U.S. tariffs.

Berkshire’s operating earnings — those from businesses wholly owned by the conglomerate — slipped 4% to $11.16 billion from the year-earlier period. The results were impacted by weak results from insurance underwriting.

The company also warned steep U.S. tariffs could hurt its businesses.

“The pace of changes in these events, including tensions from developing international trade policies and tariffs, accelerated through the first six months of 2025,” Berkshire said in its earnings report. “Considerable uncertainty remains as to the ultimate outcome of these events.”

— Fred Imbert

Asia-Pacific markets mostly ended higher Monday.

Hong Kong’sHang Seng Indexrose 0.92% to close at 24,732.55, while mainland China’sCSI 300index increased by 0.39% to 4,070.70.

Japan’sNikkei 225benchmark ended the day 1.25% lower at 40,290.70, while the broader Topix index fell 1.10% to 2,916.20.

Meanwhile, South Korea’sKospiindex advanced 0.91% to close at 3147.75, while the small-cap Kosdaq rose 1.46% to 784.06.

Australia’sS&P/ASX 200benchmark ended the day flat at 8,663.70.

Over in India, the 50-stock benchmarkNifty 50was up 0.49%, while the BSE Sensex index added 0.42% as of 1.40 p.m. Indian Standard Time (4.10 a.m. ET).

— Amala Balakrishner

Yields on Japanese Government Bonds (JGBs) mostly fell Monday over fears about demand at the 10-year bond auction Tuesday after a weaker-than-expected jobs data in the U.S.

The yield on 10-year JGBs fell 4.7 basis point to 1.506% while that of 5-year JGBs declined by 5.8 basis points to 1.026%.

Meanwhile, the yield on 20-year JGBs ticked down marginally to 2.554% while that on 30-year JGBs moved up just over 1 basis point to 3.119%.

Elsewhere in the U.S, yields on 10-year Treasurys had ticked up nearly 3 basis points to 4.2493% as of 4 p.m. Singapore time (4 a.m. ET).

— Amala Balakrishner

Oil prices

Spot gold fell Monday after rising 2% to hit a one-week high in its previous session, following concerns over a soft jobs report in the U.S. and possibility of an interest rate cut by the Federal Reserve.

Prices of the yellow metal were down 0.22% at $3,355.37 per ounce as of 11:05 a.m. Singapore time (11:05 p.m. ET Sunday).

Spot gold

Citi Investment Research expects gold to hit $3,500 per ounce in the next three months, up from $3,300 previously.

This is because “the near-term U.S. cyclical growth and inflation outlook has worsened of late,” as the higher-than-forecast tariffs “are likely to result in higher U.S. inflation, the investment firm’s analysts wrote in a Monday note.

Other factors that were considered include a weakening U.S. labor market and dollar bearishness, the analysts added.

— Amala Balakrishner

OPEC+ agreed on Sunday to raise oil production by 547,000 barrels per day for September, the latest in a series of accelerated output hikes to regain market share, as concerns mount over potential supply disruptions linked to Russia.

OPEC+ cited a healthy economy and low stocks as reasons behind its decision.

“Given fairly strong oil prices at around $70, it does give OPEC+ some confidence about market fundamentals,” said Amrita Sen, co-founder of Energy Aspects, adding that the market structure was also indicating tight stocks.

In early Asian trade on Monday, Brent crude futuresfell 43 cents, or 0.62%, to $69.24 a barrel by 2218 GMT, while U.S. West Texas Intermediatecrude was at $66.94 a barrel, down 39 cents, or 0.58%, after both contracts closed about $2 a barrel lower on Friday.

Read more here.

— Reuters