Wall Street opened June on a constructive note, with all three major indexes finishing in the green as investors returned from the holiday weekend in a cautiously optimistic mood. The Fed's sustained pause on interest rates continued to provide a supportive backdrop, and Friday's PCE inflation reading — still digested over the weekend — reinforced the view that price pressures are cooling without a recession in tow.
Nvidia was the standout story of the day, surging 3.4% after Morgan Stanley raised its price target on the AI chipmaker, pointing to a surge in enterprise data center orders. The move lifted the broader semiconductor space, with the Philadelphia Semiconductor Index gaining over 1.5% on the session. Tech was clearly the market's engine today, with the Nasdaq outpacing both the Dow and S&P 500.
On the downside, CVS Health dragged on the healthcare sector after quietly trimming its full-year profit outlook in a regulatory filing. Shares fell 3.1%, reflecting ongoing investor frustration with the company's insurance business, which has struggled to manage elevated medical costs.
Oil edged up slightly to $74.20 a barrel amid modest OPEC+ supply uncertainty, while gold held near $2,418 as the dollar softened. The VIX at 17.4 suggests markets are calm but not complacent — a reasonable place to start a new month.