S&P 500 Rises 0.7% Monday, Nearing All-Time High Amid AI Stock Volatility

U.S. stocks recovered last week's losses Monday, with the S&P 500 climbing within 1.8% of its all-time high.

The S&P 500 gained 0.7% on Monday — enough to fully erase the previous week's losses and put the index just 1.8% below the all-time high it set earlier this month. The broad-market rally came despite an unsettled day for global financial markets, with volatility concentrated in AI-related stocks and a notable selloff in Brazilian equities. The Dow Jones Industrial Average added 0.3% on the day, while the Nasdaq composite — which carries heavier exposure to technology companies — climbed 0.8%, reflecting continued investor appetite for tech even as individual AI stocks saw sharp swings in both directions. AI-related stocks have been a recurring source of market turbulence in recent sessions, with big moves up and down as investors weigh the long-term earnings potential of artificial intelligence against high valuations and uncertain near-term returns. Monday was no exception, with those stocks moving notably even as the broader market finished in positive territory. Brazilian stocks stood out as a weak spot in the global picture, tumbling during the session. The sources do not detail the specific cause, but the Brazilian market's decline added to a backdrop of uneven performance across international exchanges on the day. Overall, Monday's session offered a measure of reassurance to U.S. investors after recent choppiness, with all three major American indexes finishing higher and the S&P 500 reclaiming ground lost the prior week.

Why it matters

The S&P 500's return to within striking distance of its record high signals resilient investor confidence despite global market turbulence. Continued swings in AI stocks are significant given how heavily those companies now influence major index performance.

What's next

Watch whether the S&P 500 can close the remaining 1.8% gap to reclaim its all-time high, and whether AI stocks stabilize or continue their volatile pattern.

Key facts

• The S&P 500 rose 0.7% on Monday, fully recovering its losses from the prior week
• The index finished within 1.8% of its all-time high set earlier in December 2024
• The Dow Jones Industrial Average gained 0.3% on the day
• The Nasdaq composite climbed 0.8%, outpacing the other major indexes
• AI-related stocks continued to swing sharply in both directions during the session
• Brazilian stocks fell notably, contributing to a mixed picture for global markets

Bias & framing notes

All six sources carry the same AP-originated headline and report consistent core figures, indicating a single wire-service origin. The cenlanow report provided the most detail, including the all-time high context. Most sources are truncated regional outlets republishing the AP feed, so the depth of independent reporting is limited — all figures can be treated as consistent but the story's full detail is obscured by paywalls or truncation across most sources.

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