U.S Stocks Edge Higher as Investors Await Key Economic Data

U.S. equities climbed on Monday, as market participants downplayed the threat of a government shutdown and shifted their attention toward upcoming economic reports that could shape expectations for future interest-rate cuts.

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By mid-morning in New York, the S&P 500 was up 0.4% while the Nasdaq 100 gained 0.6%, leaving both benchmarks trading close to record highs.

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Political developments remain in focus, with congressional leaders set to meet President Donald Trump at the White House later in the day to negotiate a short-term spending plan that could avert a shutdown. On the economic front, investors are awaiting several key releases this week, including Tuesday’s JOLTS job openings report, Friday’s nonfarm payrolls, and the Conference Board’s consumer confidence index.

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“The upbeat mood in equities is partly tied to hopes of more rate cuts, but the bigger driver lately has been solid data,” said Brian Nick, head of portfolio strategy at Newedge Wealth. “We’re watching 2026 GDP growth forecasts move higher, and that underpins the earnings outlook needed to sustain stocks at these elevated valuations.”

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The S&P 500 has advanced roughly 13% so far this year, with sentiment supported by resilient corporate earnings and confidence that the U.S. economy can weather the drag from persistent tariffs. The Federal Reserve’s decision to resume its rate-cutting cycle in September with a quarter-point reduction has added another tailwind, and markets broadly expect another cut in the coming month.

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Strategists at Goldman Sachs, including Christian Mueller-Glissmann, advised clients to stay constructive on equities into year-end. They cited improving growth expectations and the historical tendency of stocks to perform well during late-cycle slowdowns when Fed support is strong.

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“Healthy earnings growth, accommodative Fed policy without a recession, and additional fiscal support worldwide should continue to bolster equities,” the team wrote in a recent note. “With recession risks appearing contained, we would use pullbacks as buying opportunities through the end of the year.”

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In single-stock news, AstraZeneca announced plans to list its ordinary shares on the New York Stock Exchange, a move aimed at broadening its investor base. Shares of Occidental Petroleum advanced after reports in the Financial Times revealed the company is exploring a sale of its OxyChem petrochemical division, a deal that could fetch at least $10 billion. Meanwhile, MoonLake Immunotherapeutics plunged more than 80% after late-stage clinical trials of its experimental drug delivered disappointing results.

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Bank stocks were in focus as Morgan Stanley lifted its price targets on large U.S. lenders by a median of 14%, issuing street-high targets for Bank of America, Citigroup, and State Street. However, the analysts downgraded their recommendations on Wells Fargo and U.S. Bancorp, signaling a more selective approach within the sector.

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In the commodities space, oil producers faced selling pressure as crude prices slipped. Traders are bracing for a potential OPEC+ production increase in November, raising concerns about oversupply in the market. At the same time, copper miners gained attention after BofA Global Research boosted its copper price forecasts, citing tightening mine supply and highlighting opportunities in pure-play copper companies.

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Separately, Barrick Mining announced that Mark Hill will take over as interim CEO, following the departure of longtime chief executive Mark Bristow, who stepped down after nearly seven years at the helm.

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Markets kicked off the week with optimism, choosing to focus more on solid economic data and prospects for further monetary easing than on political uncertainty in Washington. With corporate earnings holding up, GDP forecasts inching higher, and another potential Fed cut on the horizon, investors are finding reasons to stay engaged in equities while keeping a close eye on upcoming data releases that could shift the narrative.

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